The U.S. Treasury's Financial Crimes Enforcement Network (FinCEN) Issues Final Rule Establishing Beneficial Ownership Information Reporting Requirement, Effective 202402/02/2023
The U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN) has issued a final rule (Final Rule) establishing a beneficial ownership information reporting requirement, pursuant to the Corporate Transparency Act of 2019 (CTA), that will require most corporations, limited liability companies, and other entities created in or registered to do business in the United States to file beneficial ownership interest reports (BOI Reports) with FinCen, which will contain information about their beneficial owners—the persons who ultimately own or control the company.
The Final Rule will be effective as of January 1, 2024. Reporting companies created or registered before January 1, 2024, will have one year (until January 1, 2025) to file their initial reports, while reporting companies created or registered after January 1, 2024, will have 30 days after creation or registration to file their initial reports. Updated or corrected BOI Reports are also required to be filed within a 30 day time period.