How should unclaimed property be handled in the Canadian provinces other than the three specified with Unclaimed Property programs?

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It will depend on the particular circumstances you are dealing with. Are you holding the property here in the U.S., or in Canada?  

As you know, compliance with unclaimed property regulations is required in the three provinces where such regulations exist. Ontario has not yet implemented proposed regulations; only Quebec, Alberta and British Columbia currently have regulations in place.  The UUIPA in Canada adopted the same concept that is found in the U.S. Uniform Unclaimed Property Act of 1995, that the territory or province that enacted regulations for unclaimed property is entitled to such property where the owner’s last known address (as evidenced in the holder’s records) is in that territory or province.

That means that if in Canada you hold property for an owner whose last known address per your records is in one of the provinces that have enacted regulations, then you should report and escheat. However, if the owner’s last known address is in one of the provinces that has not implement UP regulations, then in Canada you have no regulations to comply with.

If you are holding the property in the U.S., we are not clear on the requirements as far as cross-border escheatment, but doubt you would report or escheat to a Canadian province that had regulations, let alone one that does not. Neither a province, nor the Canadian federal government has jurisdiction over an organization in the U.S.

However, that does not necessarily relieve you of reporting and escheatment responsibility. As you probably are aware, if you do not have a last known address for the owner, in most U.S. states you then have a reporting/escheatment obligation to the state of your organization’s incorporation (which might not be the state in which you are domiciled). It is possible that when the last known address is outside of the U.S., then you are required to revert to the UP requirements of your own state of incorporation.

We recommend that you contact an escheat specialist, such as Karen Anderson, VP of reporting compliance at Keane (kanderson@keaneup.com), or other unclaimed reporting organization.

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