Gift certificates, gift cards, or layaway accounts issued or maintained by any person in the business of selling tangible property or services at retail are considered exempt. Therefore, as an example, a gift card issued by a retail organization would most likely meet this exemption as it is in the business of selling tangible property at retail. A bank who issues a gift card will most likely not meet this exemption depending upon the nature of the card as it is not in the business of selling tangible property at retail. Please see Minnesota Statute 325G.53 for more information on gift cards.
Capital credits of a cooperative are technically not exempt; however a cooperative may choose an alternate procedure to distribute property as defined in Statute 308A.711. In the event that an alternate procedure to distribute property is not employed, the property is reportable to the State as unclaimed property after 7 years.
Attempt to Locate the Owners
Minnesota statutes 345.32 and 345.41(e) require Holders to comply with all due diligence efforts before reporting. Not more than 120 days before filing a report, holders must send written notice to the presumed owner at the owner’s last known address if:
The Holder has in its records an address for the presumed owner that the Holder’s records do not disclose to be inaccurate;
The claim of the apparent owner is not barred by the statute of limitations; and
The property has a value of $100 or more
If the conditions above do not apply, you are not required to perform due diligence efforts.
Performing due diligence efforts provides an opportunity for the Holder to re-establish contact with the owner and avoid escheatment by returning the property. If it is found that an owner for which we have received property is still residing at the same address, or doing business at the same address reported by you as a Holder, and there is evidence that the due diligence requirement was not adhered to, you may be considered out of compliance with state law and may be subject to penalties. Please see our Sample Due Diligence Letter (.pdf) for an example of acceptable correspondence.
Prepare and Complete Your Report
UPDATE: As of July 1st, 2017, the Minnesota Department of Commerce Unclaimed Property Program is no longer accepting paper forms for reporting unclaimed property. Online or electronic submissions via CD are required. Reports submitted via paper forms or diskette will be rejected.
Reports must be submitted in the standard NAUPA electronic file format. You may use, but are not limited to, the following products listed below to create your report:
The Program allows for unclaimed funds to be reported early. Section 345.41 (h) of the Minnesota Unclaimed Property Act allows holders to report property prior to the date required if the holder, with the permission of the Unclaimed Property Office, has reason to believe the property will be reportable in the future.
If you are an entity located or incorporated in Minnesota and you are holding NO unclaimed property, or you receive a request from our office, you must file a negative report (a report of zero property).
Minnesota allows Holders to report in aggregate, meaning you may combine individual items under $100 according to property type, and provide a single total for each type. Please utilize Owner Type “Aggregate” only when reporting properties in aggregate. Claims initiated on properties reported in an aggregate frequently require further assistance from the Holder to prove rightful ownership. Please refer to the NAUPA Standard Reporting Codes (.pdf) for further information on property type and property type codes.
NOTE: These instructions are for securities transfer ONLY. Do not send remittance payments to this account.
If you believe the shares cannot be delivered to the State’s custodial account, please contact our office directly for additional instructions. It is essential that the reported securities match what is remitted to our office. Confirmation of transfer must accompany the report in order for it to be complete. If a book entry account exists to facilitate the delivery of remitted shares, telephone redemption rights must be established with our office when created. Where such an account already exists, contact our office in order to establish telephone redemption rights.
If you find yourself unable to meet the reporting deadline, Holders have the opportunity to file for an extension. Holders must submit a Holder Request for Extension of Due Date (.pdf) no later than 30 days prior to the reporting deadline. Holders must provide, in detail, the reason for the extension when making their request and measures being taken to ensure they meet the extension deadline.
If you are located in Minnesota, and have a limited number (less than 5) of owners to report for another State, you may report unclaimed funds for each of those States, however, you should be aware that other State’s reporting requirements may differ from Minnesota, so it is generally in your best interest to report directly to the State based on last known address of the apparent owner. If you choose to report another State’s property to Minnesota, please use Minnesota reporting forms and report and remittance dates. The law for each State determines what funds are reportable, the aggregate value, and which abandonment period applies. Property reported in the aggregate should be grouped by State. Please inform those states if you intend to use this option. Any questions regarding these agreements, types of property and abandonment periods can be directed to the Minnesota Unclaimed Property Unit or the Unclaimed Property Office in any of States named.
Requests for Reimbursement
Holders may request a reimbursement for any property previously escheated that has been either mistakenly reported or paid out directly to the owners after escheatment. To request a reimbursement, please fill out the Holder Request for Reimbursement (.pdf) form and submit it to our office.
Holder reimbursement claims require the following, in addition to the Holder Request for Reimbursement:
Copies of the cashed check(s) front and back, or proof of returning property to owner
A letter of authorization indicating your position and authority to claim the funds on behalf of the company. This authorization letters must be on company letterhead and signed by an officer of the company.
The claim should be processed within 90 days. If the required documentation is not included with the claim form, the Unclaimed Property Program will send a letter requesting missing documentation, which will result in a longer processing time.
Submit Your Report and Remit Funds
Upon completion of your report, you will need to submit your report, along with any corresponding submission confirmations or verification checklists, and funds. All documentation must be mailed to the following address:
Minnesota Department of Commerce
Unclaimed Property Program
85 7th Place East, Suite 500
Saint Paul, MN 55101-2198
Please make checks payable to the Minnesota Department of Commerce. Please send one check per Holder.
Remittance payments may be made by check or online (if using the online holder reporting site). We do not accept wire transfers at this time.
*If you are sending safe deposit box contents, please ensure your report of unclaimed property is sent in a separate envelope. Please do not put your report in the same box as your safe deposit box contents.