Corporate Transparency Act – The federal Financial Crimes Enforcement Network requires reporting of beneficial owners (drilled down to individuals) for most companies formed by registration with the secretary of state. There are some exceptions for non-profits, financial businesses, and large employers (more than $5 million in gross receipts or sales in the previous year and satisfies other exemption criteria including 20+ FT employees). 2023 and earlier formed entities have until January 1, 2025 to file. Newly formed entities have 90 days to file. Companies must report contact information and identifying information, including ID (passport or DL) for all owners or executives/directors who own or control 25% or more of the entity. A beneficial owner may include a Trustee even though he doesn’t benefit financially, he is in control of the ownership. Reach out if you need help with compliance questions or filing.
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