In the face of dwindling revenue and mounting debt, some states (including South Carolina and Texas) are considering legislation that allows the government to claim unused gift card monies. Some states don’t even have to wait for the gift card to expire.
This is just one measure in the gaining habit of states trying to claim “abandoned property” to bolster state revenue. They could be on to something—each year, consumers buy up $65 billion in gift cards, and every year $6.8 billion of that goes unclaimed. Home Depot reported $37 million revenue from unused cards; and American Eagle Outfitters $12 million.
Retailers are fighting the notion that governments have a right to claim these monies, however, saying that unclaimed gift cards are not “abandoned property.”
Source:
The Wall Street Journal: Governments Grab Unused Gift Cards
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