Old funds sitting at bank

[schirallicpa]

An old client was a law firm.  I did their tax return years ago.  I don't even have copies of the old returns.  One partner passed away years ago.  The other partner is now in a nursing home after having a stroke.  Her POA has learned of funds in an old bank account for the law firm.  She is wanting to get those funds released but the bank is telling her the funds are now the state's.  I actually found funds on the states comptrollers website for each of the partners.  

She has reached out to me asking what could be done to have these funds released.  I feel like this is money gone, but I promised I would ask those who know more than I - my friends at the ATX forum.  

[Gail in Virginia]

It sounds like the account went dormant and has been transferred to the lost property division of the state.  I think that she would need to make a claim through them rather than through the bank.  The procedure for that might vary from state to state, and it will probably be complicated by the fact that she doesn't personally have any title to those funds.  But it should be doable.  I would google unclaimed property + the state the funds were held in.  

[Patrick Michael]

If the funds have been remitted to NY the POA must go to https://www.osc.state.ny.us/unclaimed-funds and search for the funds.  After locating the funds they can file the claim on-line.  It takes many months to process the claim.  

[TexTaxToo]

You can find a list of contacts for all states here:  https://missingmoney.com/app/state-index 

[Corduroy Frog]

All states have "escheat" laws, primarily directing the dormant funds not accessed for years be given to the state.  I hope your client can recover thru the Unclaimed Property vehicle, but I wouldn't guarantee it.