What the "Explore VDA" Prompt Means
Kintsugi's Explore VDA option lets you request a Voluntary Disclosure Agreement at registration to assess eligibility and avoid tax penalties and audits.Updated 13 days ago
If you clicked Register for a jurisdiction and Kintsugi showed you a prompt about a Voluntary Disclosure Agreement instead of the usual registration form, this article explains what it is and what to do next.
Before you start: Registration requests are available on any paid plan. VDA support is included with the Premium plan.
What the Prompt Looks Like
In some jurisdictions, Kintsugi reviews your exposure before you register. If the numbers suggest a VDA may serve you better than registering normally, this prompt appears when you click Register.
This is a recommendation based on your data, not a decision about your eligibility. Kintsugi confirms whether the jurisdiction and your situation are actually a fit once the conversation starts.
What Each Button Does
Explore VDA
Choosing this lets the our team know you want to look at a VDA for that jurisdiction. Someone will follow up with the next steps and what the state is likely to require.
It does not submit a standard registration, and it does not commit you to a VDA. You can still decide to register normally after the conversation.
Standard Registration
Choosing this sets the recommendation aside and opens the usual Request Registration form, exactly as it would appear in any other jurisdiction. From there the process is the same as How to Submit a Registration Request.
Why Kintsugi May Recommend a VDA
Registering normally covers you going forward. It does not erase what came before, and a state can still assess back tax for the period before your registration date.
A VDA is the tool built to resolve that. In most states it caps how far back the state can look, commonly around three to four years, and waives or reduces penalties on the tax owed.
The prompt tends to appear when there is a meaningful gap between the date you met nexus and today, because that gap is where uncollected tax accumulates.
For a full side by side comparison of the two paths and help deciding, see Standard Registration or a VDA? Choosing the Right Registration Path.
What Happens After You Choose Explore VDA
Nothing is required from you right away. Our team takes it from there.
Kintsugi confirms whether the jurisdiction and your situation are a fit.
You receive a VDA Intake Form covering the details the state will ask for.
Kintsugi files the initial application, anonymously where the state permits it.
The state responds, which can take 30 to 60 days.
Kintsugi prepares the agreement and supporting documents for your review and signature, then handles submission.
For the full walkthrough including payment timing, see Overview of the VDA Process.
Tax collection timing. On a standard registration, Kintsugi begins collecting once your request is actively processing. On a VDA, collection begins only after the registration is complete. Factor that into your compliance timeline.
If You Do Not See the Prompt
The prompt only appears where Kintsugi's analysis flags a VDA as worth considering, so most registrations will not show it. You can still raise one yourself, and it is worth doing if you know you have older uncollected tax in that jurisdiction. Either:
Add a note in the Comment field of the Request Registration form saying you would like to explore a VDA for that jurisdiction, or
Reach out to us directly.
FAQs
Q: Does choosing Explore VDA commit me to anything?
A: No. It starts a conversation. You can still register normally after hearing what a VDA would involve for that jurisdiction.
Q: I clicked Standard Registration, but now I think a VDA is the better path.
A: Reach out as soon as you realize, and do not wait for the registration to complete. State voluntary disclosure programs are generally only open to businesses that come forward on their own, so options narrow quickly once a standard registration is submitted.
Q: Will a VDA remove my tax liability entirely?
A: No. A VDA limits how far back the state can assess and usually waives or reduces penalties. The underlying tax for the periods covered is still owed.
Q: The prompt appeared for one state but not another where I have similar exposure. Why?
A: The recommendation is evaluated per jurisdiction, and state voluntary disclosure programs differ. If you think a VDA is worth exploring somewhere the prompt did not appear, raise it using the Comment field.
Need Help?
For further concerns, we're always here to help. If you can't find the answer you're looking for, just reach out to us using the chat in the bottom right corner of your screen.