*CRITICAL* New Beneficial Ownership Information Required for Most Businesses
***UPDATE as of January 2, 2024***
ON DECEMBER 23, 2024 THE FIFTH COURT OF APPEALS REVERSED THE TEXAS COURT’S INJUNCTION CONCERNING THE REQUIRED FILING OF BENEFICIAL OWNERSHIP INFORMATION. ON DECEMBER 26, 2024 THE INJUNCTION WAS REINSTATED.
BECAUSE THIS RULING IS CONSTANTLY CHANGING, WE ENCOURAGE MEMBERS TO STILL FILE BY THE DEADLINE OF JANUARY 13, 2025.
In 2021, Congress enacted the Corporate Transparency Act which creates a beneficial ownership information as part of the U.S. government's attempt to make close loop holes in the business sector. This law helps to identify business persons who try to hide or benefit from gains through shell companies or other opaque ownership structures.
As of January 1, 2024, most all businesses including sole owned LLCs and Corporations are required to file the Beneficial Ownership Information with the Federal Financial Crimes Enforcement Network (FinCEN). Existing businesses have until January 1, 2025 to file their information while brand new businesses formed after January 1, 2024 will have 30 days to file their information.
There are some businesses that are exempt and you can find more about how to get the Beneficial Ownership Information filed for your business HERE. Small businesses can also monitor FinCEN's website.
