On August 14, 2026, Delaware’s Secretary of State mailed a new round of Voluntary Disclosure Agreement (VDA) invitation letters to companies across the country. If your business received one, you have a limited window to act before being referred for audit.
Here’s what you need to know, and why taking the right steps now can save your company time, money, and unnecessary risk.
What Is a Delaware VDA Invitation Letter?
A Delaware VDA invitation letter is an official notice sent by the Secretary of State. It signals that your company has been identified as potentially out of compliance with Delaware’s unclaimed property law (12 Del. C. ch. 11).
The letter:
- Invites your company to enroll in Delaware’s Voluntary Disclosure Agreement (VDA) program.
- Highlights the benefits of resolving past-due unclaimed property obligations voluntarily.
- Sets a strict enrollment deadline (90 days from the letter date); and
- Warns that failure to enroll will result in referral to the Delaware Department of Finance for audit.
For the August 14, 2026 mailing, the enrollment deadline is November 12, 2026.
Why the 90-Day Deadline Matters:
Missing the deadline will result in an unclaimed property audit and the difference between a VDA review and an audit is significant:
- VDA Reviews:
- Collaborative process.
- Lower cost of resolution.
- Waives interest and penalties.
- Greater control over the review.
- Audit Referral
- Managed by third-party auditors on behalf of the state.
- Can last years longer than a VDA.
- More invasive, time-consuming, and costly; and
- Increase likelihood of the assessment of penalties and penalties.
What To Do if You Received a Delaware VDA Letter
- Do not ignore it. This is not a courtesy letter — it’s a formal notice.
- Review your records. Evaluate your company’s unclaimed property history, including subsidiaries, acquisitions, and affiliated entities incorporated in Delaware.
- Determine your response strategy. Decide whether to enroll in the VDA program or face audit (most companies choose the VDA) but there may be other reasons to consider an audit;
- Submit Form VDA-1 by the deadline. For the August 14, 2026 batch, that means enrolling no later than November 12, 2026.
- Engage experienced help. The process involves strict deadlines and complex reporting requirements. Working with a specialist can reduce risk and streamline compliance.
What Does a Delaware VDA Invitation Letter Look Like?
How Clarus Partners Can Help
At Clarus Partners, we understand the complexities of unclaimed property, and the pressure executives face when a Delaware VDA letter arrives. Our team, led by Sonia Walwyn, CPA and attorney with over 30 years of UP experience, can:
- Guide you through the Delaware VDA enrollment process.
- Conduct exposure analysis and risk assessments.
- Defend against audits if you’ve already been referred.
- Establish policies and procedures to ensure long-term compliance.
Final Thoughts
If your company received a Delaware VDA invitation dated August 14, 2026, you have until November 12, 2026, to act. Waiting too long or doing nothing, all but guarantees an audit.
Don’t leave your company exposed. Contact Clarus Partners today to discuss your situation and take the right steps before the deadline.