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U.S. Government Appeals Block on CTA Enforcement

Posted on December 7, 2024 by , and

The U.S. Government has appealed a federal judge’s order temporarily blocking the enforcement of the Corporate Transparency Act (CTA). As a result, the case is now headed to the Fifth Circuit Court of Appeals. Currently, reporting companies are not required to submit filings. FINCEN has acknowledged this in a recent update to its website, stating: […]

Ding Dong, the CTA is DEAD!

Posted on December 3, 2024 by , and

A federal district court in Texas has issued a landmark decision postponing the enforcement of the Corporate Transparency Act (the “CTA”). The Court held that the CTA exceeds Congress’ power and is therefore likely unconstitutional. As a result, reporting companies are no longer required to comply with the CTA’s January 1, 2025, reporting deadline. As […]

Reminder: CTA Filing Deadline Looming

Posted on October 15, 2024 by , and

The Corporate Transparency Act (CTA) remains in effect, and, as a result, many entities are required to submit filings to the federal government by the January 1, 2025, deadline. A failure to timely file may result in civil and criminal penalties. Under the CTA, a “reporting company” must file a Beneficial Ownership Information Report (“BOIR”) […]

Unraveling the Corporate Transparency Act: Navigating Entity Dissolution

Posted on July 30, 2024 by and

The Corporate Transparency Act (the “CTA”) imposes requirements on entities dissolved in 2024. Effective as of January 1, 2024, the CTA mandates entities disclose information about their “beneficial owners” to the Financial Crimes Enforcement Network (“FinCEN”). Previously, there was uncertainty about whether dissolved entities must report under the CTA. However, on July 8, FinCEN updated […]

Understanding the Corporate Transparency Act: Implications for Marital Property and Beneficial Ownership

Posted on July 1, 2024 by and

Wisconsin’s marital property laws impact compliance with the Corporate Transparency Act (the “CTA”). As discussed in other Ruder Ware CTA Focus Team insights, the CTA requires a “reporting company” to report information about its “beneficial owners” to the Financial Crimes Enforcement Network (“FinCEN”). The CTA defines a beneficial owner as “any individual who, directly or […]

The CTA’s Large Operating Company Exemption in Focus

Posted on June 12, 2024 by and

The Corporate Transparency Act (the “CTA”), part of the federal government’s effort to curtail money laundering by means of shell company structures, imposes disclosure requirements on most entities registered to do business in the United States.  As discussed in other Ruder Ware CTA Focus Team insights, there is a presumption that all entities are bound […]

Timing is Key: Navigating Due Dates of the Corporate Transparency Act for Seamless Compliance

Posted on June 4, 2024 by and

A crucial aspect of compliance with the Corporate Transparency Act (“CTA”) is understanding the various due dates and obligations. A “reporting company” must meet CTA reporting deadlines to avoid potential regulatory penalties. To avoid such penalties for non-compliance, a reporting company must plan ahead to ensure there is sufficient time to conduct CTA analysis, gather […]

The Corporate Transparency Act and Its Impact on Trusts

Posted on May 28, 2024 by and

Trust stakeholders are subject to Corporate Transparency Act (“CTA”) obligations under specific circumstances. Under CTA, a “reporting company” must disclose information about the company and its “beneficial owners.” CTA defines a “reporting company” as any entity that is created by filing a document with a secretary of state or any similar office. A “beneficial owner” […]

New Filing Requirements – Corporate Transparency Act

Posted on May 15, 2024 by

The Corporate Transparency Act (CTA) is a recent enactment that mandates increased transparency in entity ownership structures, aiming to combat illicit activities such as money laundering and terrorism financing facilitated by anonymous entities, and has far-reaching implications for entities.  CTA was passed as part of the National Defense Authorization Act for Fiscal Year 2021 but […]

U.S. Treasury Clarifies Beneficial Ownership Reporting Requirements for Businesses

Posted on February 22, 2023 by

When it goes into effect on January 1, 2024, a provision tucked inside the Corporate Transparency Act (the “CTA”) will impose lengthy new reporting requirements on many business entities, including many single-member LLCs. The final rule recently issued by the U.S. Treasury Department’s Financial Crimes Enforcement Network clarifies the scope and applicability of these new […]