Delaware Voluntary Disclosure (VDA) Invitation Letters

Sovos
February 19, 2021

DE VDA Invitation Letters Update: February 19, 2021

Pursuant to 12 Del. C. §1173(b), the Delaware Secretary of State (SOS) has distributed a new wave of letters inviting companies to enter the unclaimed property Voluntary Disclosure Agreement (VDA) Program.

Holders have 60 days from the date of the letter to enroll in the SOS VDA program. Organizations should encourage their unclaimed property contacts, CFO’s, upper management, and DE registered agents to be on the lookout for this letter. Many times, when holders receive these letters they are not brought to the attention of the appropriate person or department causing the company to miss their VDA invitation window. Holders that do not respond to the VDA invitation letter within 60 days will be referred to State Escheator for audit examination.

DE VDA History

Delaware Senate Bill 141, which was passed and became effective on July 22, 2015, indefinitely extended the Delaware Secretary of State Unclaimed Property VDA program that originally expired July 1, 2016. Also included within DE SB 141 was the provision that no holder would be eligible for an audit without first receiving a notice or invitation to enroll in the VDA program. Holders enrolled in the VDA program are not eligible for audit by the State Escheator. However, if a holder receives an audit notice, they are precluded from enrolling the SOS VDA Program and the Department of State is unable to accept their enrollment.

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Sovos

Sovos is a global provider of tax, compliance and trust solutions and services that enable businesses to navigate an increasingly regulated world with true confidence. Purpose-built for always-on compliance capabilities, our scalable IT-driven solutions meet the demands of an evolving and complex global regulatory landscape. Sovos’ cloud-based software platform provides an unparalleled level of integration with business applications and government compliance processes. More than 100,000 customers in 100+ countries – including half the Fortune 500 – trust Sovos for their compliance needs. Sovos annually processes more than three billion transactions across 19,000 global tax jurisdictions. Bolstered by a robust partner program more than 400 strong, Sovos brings to bear an unrivaled global network for companies across industries and geographies. Founded in 1979, Sovos has operations across the Americas and Europe, and is owned by Hg and TA Associates.
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