For the vast majority of LLCs (about 32 Million), you are required to complete a new reporting requirement by end of year.

The implementation of the Corporate Transparency Act (CTA) of 2021 was effective January 1, 2024. This legislation aimed at combating Money Laundering, is under the jurisdiction of the U.S. Treasury Department in the Financial Crimes Enforcement Network (FINCEN) and requires the reporting of Beneficial Ownership Information (BOI).

You can review the website:  https://www.fincen.gov/boi in order to learn about this new requirement. There are some industry/company exemptions from this reporting requirement:  https://www.fincen.gov/boi-faqs#C_2 . The FAQ page is a great place to get started. The key points to make note from the website (and FAQ) are the exempted businesses, the 90 day reporting requirement for businesses formed in 2024, the January 1, 2025 deadline for businesses formed prior to this calendar year, and starting in 2025, a 30-day reporting requirement. For more complex businesses or those with complex ownership arrangements should consult their business attorneys. when in doubt, you should consult a business attorney.  Source: SCORE/SBA

 -Denise Williams of RDS -

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