View Bill Status
View Bill Text
View Statement of Purpose / Fiscal Impact
H0479...............................................by REVENUE AND TAXATION UNCLAIMED PROPERTY - Amends existing law relating to unclaimed property to require reporting of the full name and last known address of the insured or annuitant or beneficiary when unclaimed funds of more than fifty dollars held or owing under any life or endowment insurance policy or annuity contract are reported; to require that the report of abandoned property must be filed no later than November first of each year; to provide that property escheats to the state of Idaho ten years after it is received by the administrator of unclaimed property; to provide that the State Tax Commission shall record the name and last known address of the person entitled to the property within sixty days of transferring excess funds from the unclaimed property account; and to provide that statements to purchasers shall set forth amounts due by the holder. 01/19 House intro - 1st rdg - to printing 01/20 Rpt prt - to Rev/Tax 02/03 Rpt out - rec d/p - to 2nd rdg 02/04 2nd rdg - to 3rd rdg 02/09 3rd rdg - PASSED - 67-0-3 AYES -- Andersen, Barraclough, Barrett, Bauer, Bayer, Bedke, Bell, Black, Block, Boe, Bolz, Bradford, Campbell, Cannon, Clark, Collins, Crow, Cuddy, Deal, Denney, Douglas, Eberle, Edmunson, Ellsworth, Eskridge, Field(18), Field(23), Gagner, Garrett, Harwood, Henbest, Jaquet, Jones, Kellogg, Kulczyk, Lake, Langford, Martinez, McKague, Meyer, Miller, Mitchell, Naccarato, Nielsen, Pasley-Stuart, Raybould, Ridinger, Ring, Ringo, Roberts, Robison, Rydalch, Sali, Sayler, Schaefer, Shepherd, Shirley, Skippen, Smith(30), Smith(24), Smylie, Snodgrass, Stevenson, Trail, Wills, Wood, Mr. Speaker NAYS -- None Absent and excused -- Langhorst, McGeachin, Moyle Floor Sponsor - Collins Title apvd - to Senate 02/10 Senate intro - 1st rdg - to Loc Gov 02/12 Rpt out - rec d/p - to 2nd rdg 02/13 2nd rdg - to 3rd rdg 03/02 3rd rdg - PASSED - 31-0-4 AYES -- Andreason, Bailey, Brandt, Burkett, Burtenshaw, Calabretta, Cameron, Compton(Duncan), Darrington, Davis, Gannon, Geddes, Goedde, Hill, Ingram, Kennedy, Keough, Little, Lodge, Malepeai, Marley, McKenzie, Noble(Anderson), Noh, Pearce, Schroeder, Sorensen, Stennett, Sweet, Werk, Williams NAYS -- None Absent and excused -- Bunderson, McWilliams, Richardson, Stegner Floor Sponsor - Werk Title apvd - to House 03/03 To enrol 03/04 Rpt enrol - Sp signed 03/05 Pres signed 03/08 To Governor 03/10 Governor signed Session Law Chapter 29 Effective: 07/01/04
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-seventh Legislature Second Regular Session - 2004IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 479 BY REVENUE AND TAXATION COMMITTEE 1 AN ACT 2 RELATING TO UNCLAIMED PROPERTY; AMENDING SECTION 14-517, IDAHO CODE, TO 3 REQUIRE REPORTING OF THE FULL NAME AND LAST KNOWN ADDRESS OF THE INSURED 4 OR ANNUITANT OR BENEFICIARY WHEN UNCLAIMED FUNDS OF MORE THAN FIFTY DOL- 5 LARS HELD OR OWING UNDER ANY LIFE OR ENDOWMENT INSURANCE POLICY OR ANNUITY 6 CONTRACT ARE REPORTED AND TO REQUIRE THAT THE REPORT OF ABANDONED PROPERTY 7 MUST BE FILED NO LATER THAN NOVEMBER FIRST OF EACH YEAR; AMENDING SECTION 8 14-518, IDAHO CODE, TO PROVIDE THAT PROPERTY ESCHEATS TO THE STATE OF 9 IDAHO TEN YEARS AFTER IT IS RECEIVED BY THE ADMINISTRATOR OF UNCLAIMED 10 PROPERTY; AMENDING SECTION 14-523, IDAHO CODE, TO PROVIDE THAT THE STATE 11 TAX COMMISSION SHALL RECORD THE NAME AND LAST KNOWN ADDRESS OF THE PERSON 12 ENTITLED TO THE PROPERTY WITHIN SIXTY DAYS OF TRANSFERRING EXCESS FUNDS 13 FROM THE UNCLAIMED PROPERTY ACCOUNT; AND AMENDING SECTION 14-543, IDAHO 14 CODE, TO PROVIDE THAT STATEMENTS TO PURCHASERS SHALL SET FORTH AMOUNTS DUE 15 BY THE HOLDER AND TO MAKE A TECHNICAL CORRECTION. 16 Be It Enacted by the Legislature of the State of Idaho: 17 SECTION 1. That Section 14-517, Idaho Code, be, and the same is hereby 18 amended to read as follows: 19 14-517. REPORT OF ABANDONED PROPERTY. (1) A person holding property tan- 20 gible or intangible, presumed abandoned and subject to custody as unclaimed 21 property under this chapter shall report to the administrator concerning the 22 property as provided in this section. 23 (2) The report must be verified and must include: 24 (a) Except with respect to traveler's checks and money orders, the name, 25 if known, and last known address, if any, of each person appearing from 26 the records of the holder to be the owner of property presumed abandoned 27 under this chapter; 28 (b) In the case of unclaimed funds of more than fifty dollars ($50.00)or29moreheld or owing under any life or endowment insurance policy or annuity 30 contract, the full name and last known address of the insured or annuitant 31 and of the beneficiary according to the records of the insurance company 32 holding or owing the funds; 33 (c) In the case of the contents of a safe deposit box or other safekeep- 34 ing repository or of other tangible property, a description of the prop- 35 erty and the place where it is held and may be inspected by the adminis- 36 trator and any amounts owing to the holder; 37 (d) The nature and identifying number, if any, or description of the 38 property and the amount appearing from the records to be due; 39 (e) The date the property became payable, demandable, or returnable, and 40 the date of the last transaction with the apparent owner with respect to 41 the property; and 42 (f) Other information the administrator prescribes by rule as necessary 43 for the administration of the provisions of this chapter. 2 1 (3) If the person holding property presumed abandoned and subject to cus- 2 tody as unclaimed property is a successor to other persons who previously held 3 the property for the apparent owner or the holder has changed his name while 4 holding the property, he shall file with his report all known names and 5 addresses of each previous holder of the property. 6 (4) The report must be filedbeforeno later than November 1 of each 7 year as of June 30 next preceding. On written request by any person required 8 to file a report, the administrator may postpone the reporting date. 9 (5) All holders of property presumed abandoned under this section that 10 know the whereabouts of the owner of such property shall, before filing the 11 annual report, communicate with the owner and take necessary steps to prevent 12 abandonment from being presumed. Not more than one hundred twenty (120) days 13 before filing the report required by this section, the holder in possession of 14 property presumed abandoned and subject to custody as unclaimed property under 15 this chapter shall send written notice to the apparent owner at his last known 16 address informing him that the holder is in possession of property subject to 17 this chapter if the holder has in its records an address for the apparent 18 owner which the holder's records do not disclose to be inaccurate. 19 (6) The written notice required under this section shall include the name 20 and address of the apparent owner, the nature and amount of the property pre- 21 sumed abandoned in the holder's possession, the name and address of the holder 22 of the property presumed abandoned, a request that the apparent owner identify 23 whether the property presumed abandoned is or is not unclaimed property under 24 this chapter, and the reasons therefor, and any other criteria the administra- 25 tor deems appropriate. 26 (7) If the apparent owner completes and returns the written notice 27 described in subsection (6) of this section to the holder, and the apparent 28 owner indicates a claim to the property presumed abandoned or indicates that 29 the property identified in the written notice is not abandoned property, the 30 holder need not pay or deliver the property to the administrator, and the 31 property shall not be considered abandoned. 32 (8) In the event a holder receives a written notice as described in sub- 33 section (7) of this section demonstrating that certain property is not aban- 34 doned, a new presumption of abandonment may arise for such property due to the 35 passage of time. The date the holder receives the written notice shall be 36 deemed the date such property became payable or distributable for the purposes 37 of calculating whether a presumption of abandonment has arisen. 38 (9) A report filed pursuant to this section shall be presumed accurate if 39 the holder has maintained adequate records sufficient to establish by a pre- 40 ponderance of evidence that each item on the report is accurate and correct. 41 SECTION 2. That Section 14-518, Idaho Code, be, and the same is hereby 42 amended to read as follows: 43 14-518. NOTICE AND PUBLICATION OF LISTS OF ABANDONED PROPERTY. (1) The 44 administrator shall cause a notice to be published annually each year, at 45 least once a week for two (2) consecutive weeks in newspapers of general cir- 46 culation, or in a published notice distributed, one (1) time only, concur- 47 rently with a newspaper of general circulation in the county of this state in 48 which is located the last known address of any person to be named in the 49 notice. If no address is listed or the address is outside this state, the 50 notice must be published in a newspaper which has general circulation, or in a 51 published notice distributed concurrently with a newspaper which has general 52 circulation in the county in which the holder of the property has its princi- 53 pal place of business within this state. Provided however, the names and 3 1 addresses located in a state which will receive the accounts because of recip- 2 rocal agreements as permitted by section 14-535, Idaho Code, need not be pub- 3 lished. In the case of a notice which is distributed concurrently with a 4 newspaper, the provisions of section 60-105, Idaho Code, relating to rates for 5 official notices shall not apply. 6 (2) The published notice must be entitled "Notice of Names of Persons 7 Appearing to be Owners of Abandoned Property" and contain: 8 (a) The names in alphabetical order and last known address, if any, of 9 persons listed in the report and entitled to notice; 10 (b) A statement that information concerning the property may be obtained 11 by any person possessing an interest in the property by addressing an 12 inquiry to the administrator; 13 (c) A statement that the property is in the custody of the administrator 14 and all claims must be directed to the administrator; and 15 (d) A statement that the property shall escheat to the state of Idaho and 16 become the property of the state of Idaho if not claimed within ten (10) 17 years afternotice is published pursuant to this sectionit is received by 18 the administrator. 19 (3) The administrator is not required to publish in the notice any items 20 of less than one hundred dollars ($100) unless the administrator considers 21 their publication to be in the public interest. 22 (4) This section is not applicable to sums payable on traveler's checks, 23 money orders, and other written instruments presumed abandoned under section 24 14-504, Idaho Code. 25 SECTION 3. That Section 14-523, Idaho Code, be, and the same is hereby 26 amended to read as follows: 27 14-523. DISPOSITION OF MONEY RECEIVED. (1) All money received under this 28 chapter, including the proceeds from the sale of property under section 29 14-522, Idaho Code, shall be deposited in the unclaimed property account. 30 (2) All money in the unclaimed property account is hereby continuously 31 appropriated to the state tax commission, without regard to fiscal years, for 32 expenditure in accordance with law in carrying out and enforcing the provi- 33 sions of this chapter, including, but not limited to, the following purposes: 34 (a) For payment of claims allowed by the state tax commission under the 35 provisions of this chapter. 36 (b) For refund, to the person making such deposit of amounts, including 37 overpayments, deposited in error in such account. 38 (c) For payment of the cost of appraisals incurred by the state tax com- 39 mission covering property held in the name of the account. 40 (d) For payment of the cost incurred by the state tax commission for the 41 purchase of lost instrument indemnity bonds, or for payment to the person 42 entitled thereto, for any unpaid lawful charges or costs which arose from 43 holding any specific property or any specific funds which were delivered 44 or paid to the state tax commission, or which arose from complying with 45 this chapter with respect to such property or funds. 46 (e) For payment of amounts required to be paid by the state as trustee, 47 bailee, or successor in interest to the preceding owner. 48 (f) For payment of costs of official advertising in connection with the 49 sale of property held in the name of the account. 50 (g) For transfer to the general account as provided in subsection (3) of 51 this section. 52 (h) For transfer to the inheritance tax account of the amount of any 53 inheritance taxes determined to be due and payable to the state by any 4 1 claimant with respect to any property claimed by him under the provisions 2 of this chapter. 3 (3) At the end of each month, or more often, if it deems it advisable, 4 the state tax commission shall transfer all money in the unclaimed property 5 account in excess of two hundred fifty thousand dollars ($250,000) to the gen- 6 eral account.BeforeWithin sixty (60) days of making this transfer, it shall 7 record the name and last known address, if available, of each person appearing 8 from the holder's report to be entitled to the property. The record shall be 9 available for public inspection at all reasonable business hours. 10 (4) All money received under this chapter, including the proceeds from 11 the sale of property under section 14-522, Idaho Code, deposited in the gen- 12 eral account shall be retained by the state of Idaho for the purposes of this 13 section and administered pursuant to this section for a period of ten (10) 14 years. At the end of such period, those moneys which have not been claimed and 15 paid over or delivered as an allowed claim under this section and section 16 14-524, Idaho Code, shall become due and payable by escheat to the state of 17 Idaho and become the property of the state of Idaho without further action on 18 the part of the administrator. 19 SECTION 4. That Section 14-543, Idaho Code, be, and the same is hereby 20 amended to read as follows: 21 14-543. SUCCESSORS' LIABILITY. (1) If any holder possessing unclaimed 22 property under this act sells out its business or stock of goods, the pur- 23 chaser of the business or stock of goods shall make inquiry of the administra- 24 tor and withhold from the purchase price any amount of unclaimed property that 25 may be due under thisactchapter until such time as the administrator pro- 26 vides written notification stating that no amount is due. 27 (2) If the purchaser of a business or stock of goods fails to withhold 28 the amounts required by subsection (1) of this section from the purchase 29 price, he becomes personally liable for the payment of the amount required to 30 be withheld to the extent of the purchase price valued in money. 31 (3) The administrator shall, as soon as practicable after receiving writ- 32 ten inquiry as to any amounts due, and no later than thirty (30) days after 33 receipt of the inquiry or, if necessary, thirty (30) days from the date the 34 holder's records are made available for review under section 14-530, Idaho 35 Code, but in any event no later than sixty (60) days after receiving the 36 inquiry, issue a statement to the purchaser setting forth the amountof tax37 due under this chapter by the holder, if any. The administrator's failure to 38 issue such statement will release the purchaser from any obligation to with- 39 hold from the purchase price the amounts as above required, or responsibility 40 for the reporting or delivery of any unclaimed property due and owing by the 41 holder under section 14-517, Idaho Code, and section 14-519, Idaho Code.
STATEMENT OF PURPOSE RS 13514 This bill makes updates and corrections to Idaho's adoption of the Uniform Unclaimed Property Act. Section 1 resolves a conflict between sections 14-517(2) and 14- 502(e) about reporting of the full name and last known address of an insured, annuitant or the beneficiary entitled to unclaimed funds under any life or endowment insurance policy or annuity contract. The "$50 or more" in 14-517 is conformed to the "more than $50" in section 14-502. Section 1 also clarifies that the filing date for the report of unclaimed property is November 1, not "before November 1." Section 2 clarifies the ten-year time after which property escheats to the state of Idaho. It conforms the ten-year escheat date of section 14-518 "10 years after published" to that of 14-523(4) "10 years after received." Section 3 requires the state tax commission to record the name and last known address of the person entitled to the property within sixty days of transferring excess funds from the unclaimed property account. Section 4 strikes a reference to "tax due" and substitutes a reference to amounts due under the Unclaimed Property Act. FISCAL IMPACT No Fiscal effect. CONTACT Name: Dan John / Ted Spangler Agency: Tax Commission Phone: 334-7530 Statement of Purpose/Fiscal Impact H 479