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12/11/17 8:00 AM

Delaware Audit Conversion and VDA Election Dates Are Fast Approaching

by David Poehler

delaware.pngAs we indicated in our previous Blog postings - Delaware Issues Final Reporting and Examination Manual and Delaware Unclaimed Property Notice Letter - Which Did You Recieve? Delaware has been busy filling the mailboxes of companies recently.  If you are a recipient of a letter from Delaware regarding your audit conversion and VDA election options, the dates by which you need to act is fast approaching: 

 

Notice to Convert to an Expedited Audit or VDA 

For companies already under audit by Delaware, the state has recently issued letters notifying them on their options to convert to either the expedited audit option or the VDA program.

This an excerpt which will help in identifying the conversion option letter:

Delaware's goal is to provide companies reasonable, fair, and efficient options to come into compliance with their unclaimed property reporting obligations. I previously shared with you various oopportunities available to Holders under examitation under the revised statute, which was enacted earlier this year. This new legislation offers most companies, including your company, a unique opportunity under 12 Del. C § 1172(c) ti convert the Audit into a review under the Delaware Secretary of State's Voluntary Disclosure Agreement (VDA) program. Holders should consider the benefits of voluntary compliance and the advantages of electing into the Secretary of State's VDA program.

Alternatively, Delaware is offering an opportunity under 12 Del. C. § 1172(b) pursuant to which Holders may elect to expedite the completion of their examination. Companies that may be well down the path toward completing an examination may want to consider the benefits of the expedited audit opton.

Whichever option you choose, the State will work with each Holder in a fair, reasonable and efficient manner to expedite the resolution of the review. I urge all Holders to seriously consider the advantages of both available options.

THE DEADLINE TO ELECT EITHER INTO A VDA OR AN EXPEDITED AUDIT IS DECEMBER 11, 2017. COMPANIES THAT FAIL TO MAKE AN ELECTION WILL REMAIN UNDER A REGULAR AUDIT SUBJECT TO ALL STATUTORILY-MANDATED PENALTIES AND INTEREST.

The deadlines to make your elections are looming. If you are uncertian about what your options are, contact MarketSphere Unclaimed Property Specialists and speak with a professional advisor who can assist you with understanding your options and recommend actions that need to be taken. 

Topics: Delaware, Audit