The Corporate Transparency Act (CTA), requires most small businesses, (Single Member LLCs, S-Corporations, Partnerships, etc.) to retroactively file a Beneficial Owner Information Report (BOIR) regarding its “beneficial owners” and other key management personnel to the Financial Crimes Enforcement Network (FinCEN) of the United States Treasury Department. Any individuals who, directly or indirectly, own or control 25% or more of the equity interests in the corporation or LLC, or (b) who have substantial control over the entity would be considered a “Beneficial Owner.”
To assist you in complying with these regulations, let us assist you in filing your BOIR. Email: cta@smgaba.com
Failure to comply with CTA regulations may incur civil penalties from the Bureau of Investigation (BOI) amounting to $500 per day for the duration of the violation or until rectified. Moreover, you may be subject to fines reaching $10,000 and/or imprisonment for a maximum of two years.
Furthermore, on December 23, 2023, Gov. Kathy Hochul signed the New York LLC Transparency Act (“NYLTA”), which will go into effect on December 21, 2024. The NYLTA will require all New York limited liability companies formed or registered prior to December 21, 2024, to report its beneficial ownership before January 1, 2025. The NYLTA applies only to limited liability companies and the beneficial ownership will be reported contemporaneously and, presumably, as part of the Articles of Organization for each entity formed after December 21, 2024.