California Begins Sending VCP Reminder Notices—Here’s What Holders Should Know

November 2025 | Advisely LLC – Unclaimed Property Update

The California State Controller’s Office (SCO) has announced a new outreach effort aimed at increasing awareness of the state’s Voluntary Compliance Program (VCP). Throughout November, the SCO will mail roughly 4,000 reminder notices to large businesses as part of its initiative to encourage voluntary reporting and reduce noncompliance.

This is a significant shift in California’s approach, and companies should expect similar outreach several times a year going forward.

Why the California VCP Matters

California’s VCP provides companies with a streamlined way to resolve past-due unclaimed property while receiving one of the most valuable incentives in the country:

waiver of the 12% annual interest assessment.

For companies that haven’t reported consistently—or have grown through acquisitions—the VCP is often the most cost-effective way to get compliant and avoid an audit.

Key benefits include:

• Eliminating interest exposure

• Reducing audit risk

• Establishing a clean compliance baseline

  
  

Eligibility Overview

Most companies qualify as long as they:

• Have not received an audit or examination notice

• Have no unresolved California interest assessments

• Haven’t received a VCP waiver in the last five years (unless related to M&A)

If you’ve not historically filed in California, these reminder notices may indicate that the SCO is increasing its focus on your industry or filing pattern.

How Enrollment Works

Companies can apply directly through the SCO website by submitting the VCP-01 form. The state typically responds within a few weeks with either an approval and upcoming deadlines or a short explanation if denied. After enrollment, holders must complete a training module and follow the Notice/Remit reporting schedule set by the state.

How Advisely Supports the Process

Advisely helps companies evaluate whether the VCP is appropriate, estimate historical liability, prepare Notice and Remit reports, and coordinate due diligence. We also assist with policy improvements and ongoing compliance to ensure long-term sustainability.

If your organization receives a reminder letter—or isn’t sure where it stands—reach out to the Advisely team. We’re happy to walk through next steps and help you determine the right approach.

Contact: info@adviselyllc.com or 732-466-0799