by Structured Settlement Watchdog
Bipartisan Corporate Transparency Act
The bipartisan Corporate Transparency Act, signed in 2021, mandates most U.S. firms and non-exempt foreign 
firms to report identifying information about their ownership to a confidential FINCEN database. The Corporate Transparency Act became effective January 1, 2024. See U.S. Beneficial Ownership Information Registry Now Accepting Reports | FinCEN.gov
What is FinCEN?
FinCEN is a bureau of the U.S. Department of the Treasury tasked with safeguarding the financial system from illicit activity, enforcing anti-money laundering laws, and countering the financing of terrorism.
Who has to report under the Bipartisan Corporate Transprency Act?
Domestic reporting companies are corporations, limited liability partnerships (LLP) or any other entity created by the filing of a document with a secretary of state or any similar office under the law of a state or Indian tribe.
- BOI reports must include certain personal information about individuals who, directly or indirectly, (1) exercise substantial control over the Reporting Company, or (2) own or control at least 25% of the ownership interests of the Reporting Company.
Beneficial ownership information reporting is not an annual requirement. A report only needs to be submitted once, unless the filer needs to update or correct information. Generally, reporting companies must provide four pieces of information about each beneficial owner:
- name;
- date of birth;
- address; and
- the identifying number and issuer from either a non-expired U.S. driver’s license, a non-expired U.S. passport, or a non-expired identification document issued by a State (including a U.S. territory or possession), local government, or Indian tribe. If none of those documents exist, a non-expired foreign passport can be used. An image of the document must also be submitted. Source: FinCEN.gov
What to know about the Corporate Transparency Act (thomsonreuters.com)