On January 1, 2024, the new reporting requirements under the Corporate Transparency Act (the “CTA”) took effect in the United States. The CTA, aimed at increasing corporate transparency and combating financial crimes, requires “reporting companies” to file Beneficial Ownership Information Reports (“BOIRs”) with the Financial Crimes Enforcement Network (“FinCEN”), disclosing certain beneficial ownership information. This requirement applies to most domestic and foreign entities doing business in the U.S., including limited liability companies, limited partnerships, corporations, and similar structures (each a “Reporting Company”).Continue Reading Upcoming Deadline: Corporate Transparency Act Filings
Corporate Transparency Act
In order to ensure greater transparency and accountability, the Corporate Transparency Act (CTA) mandates that specific organizations submit a report to the Financial Crimes Enforcement Network (FinCEN) at the U.S. Department of the Treasury. The following articles delve into the details of the CTA, examining why it is so significant and exploring its potential impact on the business world in the coming years.
Recorded Webinar: Corporate Transparency ActꟷCommon Exemptions for Private Fund Managers and Their Affiliates
Join Winstead attorneys Burke McDavid and Page Patrick as they discuss significant Corporate Transparency Act (CTA) exemptions for private fund managers, their affiliated management entities, and advised funds. The presentation covers exemptions that can shield these entities from the CTA’s otherwise extensive reporting requirements. Listen Here
Triggers That Require Reporting Companies to File Updated Beneficial Ownership Interest Reports
On January 1, 2024, Congress enacted the Corporate Transparency Act (the “CTA”) as part of the Anti-Money Laundering Act of 2020 and its annual National Defense Authorization Act. Every entity that meets the definition of a “reporting company” under the CTA and does not qualify for an exemption must file a beneficial ownership information report…
The Corporate Transparency Act: HOAs Don’t Need that Kind of Transparency
One of the hottest topics in the HOA-world over the past year has been the implementation of the Corporate Transparency Act (CTA). Although enacted by Congress in 2021, registrations under the CTA became mandatory for newly formed HOAs on January 1, 2024, and will be mandatory for all incorporated HOAs on January 1, 2025. The Community Associations Institute (CAI), which advocates for HOAs, has stated it will file a lawsuit this summer challenging the applicability of the CTA to HOAs.Continue Reading The Corporate Transparency Act: HOAs Don’t Need that Kind of Transparency
The Corporate Transparency Act (Part 1): An Overview
On January 1, 2021, Congress enacted the Corporate Transparency Act (the “CTA”) as part of the Anti-Money Laundering Act of 2020 and its annual National Defense Authorization Act. The new legislation requires certain entities to report information about their owners, management and the individuals who helped create the entities to the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (“FinCEN”). The information reported to FinCEN is intended to assist law enforcement in combating money laundering, tax fraud, terrorist financing, and other unlawful activities that occur through shell and front companies.Continue Reading The Corporate Transparency Act (Part 1): An Overview
The Corporate Transparency Act (Part 2): Exemptions from the Reporting Requirements
On January 1, 2021, Congress enacted the Corporate Transparency Act (the “CTA”) as part of the Anti-Money Laundering Act of 2020 and its annual National Defense Authorization Act. The new legislation requires certain entities to report information about their owners, management and the individuals who helped create the entities to the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (“FinCEN”). The information reported to FinCEN is intended to assist law enforcement in combating money laundering, tax fraud, terrorist financing, and other unlawful activities that occur through shell and front companies.
This is the second article in a new series about the CTA. This edition will provide a more detailed look at the exemptions from reporting requirements under the CTA. Continue Reading The Corporate Transparency Act (Part 2): Exemptions from the Reporting Requirements
The Corporate Transparency Act (Part 3): Reporting Requirements
On January 1, 2021, Congress enacted the Corporate Transparency Act (the “CTA”) as part of the Anti-Money Laundering Act of 2020 and its annual National Defense Authorization Act. The new legislation requires certain entities to report information about their owners, management and the individuals who helped create the entities to the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (“FinCEN”). The information reported to FinCEN is intended to assist law enforcement in combating money laundering, tax fraud, terrorist financing, and other unlawful activities that occur through shell and front companies.
This is the third article in a new series about the CTA. This edition will outline the information required to be reported to FinCEN by reporting companies and highlight the timeline for reporting such information.Continue Reading The Corporate Transparency Act (Part 3): Reporting Requirements
The Corporate Transparency Act (Part 4): Beneficial Owners and Company Applicants Defined Under the CTA
On January 1, 2021, Congress enacted the Corporate Transparency Act (the “CTA”) as part of the Anti-Money Laundering Act of 2020 and its annual National Defense Authorization Act. The new legislation requires certain entities to report information about their owners, management and the individuals who helped create the entities to the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (“FinCEN”). The information reported to FinCEN is intended to assist law enforcement in combating money laundering, tax fraud, terrorist financing, and other unlawful activities that occur through shell and front companies.
This is the fourth article in a new series about the CTA. This edition highlights which individuals qualify as “beneficial owners” and “company applicants” of reporting companies and further explains the unique identifier that such individuals can apply for through FinCEN. For more detail on what specific information is required to be reported for beneficial owners and company applicants, please read our other articles in this series: The Corporate Transparency Act (Parts 1-4).Continue Reading The Corporate Transparency Act (Part 4): Beneficial Owners and Company Applicants Defined Under the CTA
Corporate Transparency Act (CTA)
In a significant step toward a future of heightened corporate transparency, the bipartisan Corporate Transparency Act (CTA) is prepared to roll out as of January 1, 2024. This new legislation, issued by the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN) under the broad provisions of the Anti-Money Laundering Act of 2020, aims to set forth fresh reporting obligations for corporations pertaining to their beneficial ownership and organizers— though it is essential to bear in mind that some exceptions are in place.Continue Reading Corporate Transparency Act (CTA)