Leawood, Kan. – March 3, 2023: Last week, the Indiana Senate passed Senate Bill 183 (“SB 183”). SB 183 would amend the Indiana Unclaimed Property Act to create a specific Gift Card exemption from escheat. As you may recall, Indiana adopted its version of the Revised Uniform Unclaimed Property Act (“RUUPA”) in 2021; however, Indiana failed to specifically address gift cards. Prior to adopting RUUPA, Indiana did not require gift cards to be reported as unclaimed property. The Indiana Attorney General did advise holders or companies reporting unclaimed property to continue to exclude gift cards from their unclaimed property holder reports; that directive can be found here.
As currently written in SB 183, “[g]ift card means a stored card value: (A) the value of which does not expire; (B) that may be decreased in value only by redemption for merchandise, goods, or services; and (C) that, unless required by law, may not be redeemed for or converted into money or otherwise monetized by the issuer. The term includes a prepaid commercial mobile radio service (as defined in 47 CFR 20.3).” 2023 IN S.B. 183 § 1(12). Additionally, the definition of property would be amended to exclude gift cards. Id. at § 1(24).
Next, SB 183 will move to the House of Representatives for consideration. To read SB 183 click here: Indiana Senate Bill 183.
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