Corporate Transparency Act (CTA)
Resources
We're here to help you comply with the CTA.
Failure to comply will result in a $519 per day ($10,000 maximum) fine and a maximum of 2 years in prison.
Get Started With Your Report Today!
What is the Corporate Transparency Act?
The CTA, which came into effect on January 1, 2024, is intended to assist law enforcement in combatting money laundering, tax fraud, financing of terrorism, and other illicit activity directed through anonymous shell and front companies. It requires certain U.S. companies, including most small businesses, to provide personal information about their beneficial owners to the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN).
Which entities are considered
"Reporting Companies"?
This clasification includes any corporation, LLC, or other legal entity formed under U.S. law, as well as any foreign legal entity registered to conduct business in the U.S. by filing a document with a state or tribal government office.
33,185,550
Small Businesses in the U.S
24 Months
Maximum Prison Sentence
$10,000
Maximum Fine Failure to Comply
REPORTING EXEMPTIONS
Entities that are exempt must certify their exempt status to FinCEN to comply with the CTA reporting requirements.
There are 23 types of exempt entities, most of which fall into the following categories:
A large operating company
Certain entities already subject to significant U.S. government
regulation
Subsidiaries of certain exempt
entities under the CTA
An inactive entity
WHAT INFORMATION WILL YOU NEED TO PROVIDE?
The CTA requires reporting entities to disclose information to the Department of the Treasury’s Financial Crimes Enforcement Network (“FinCEN”) by filing a Beneficial Ownership Information Report (“BOIR”). The information provided in the reports includes but is not limited to:
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Themselves
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Their beneficial owners
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Individuals responsible for their creation or registration for business in the U.S.
