Corporate Transparency Act

Are you a small business owner? Have you heard about the Corporate Transparency Act? This new requirement probably applies to your business!

The Corporate Transparency Act (CTA) became effective on January 1, 2024, for the purpose of making it more difficult for bad actors to conceal their financial activities. The CTA is a bipartisan law that targets foreign and domestic criminals who have been exploiting weak laws to engage in illegal activities through anonymous shell companies. Many companies, including small businesses, are required to report their Beneficial Ownership Information (BOI) to FinCEN, the Financial Crimes Enforcement Network, a bureau of the U.S. Department of Treasury. This requirement is to promote transparency around the real people behind corporate entities.

Companies formed prior to January 1, 2024, will need to complete their submissions by the end of 2024. Any newly formed businesses must do the same within 90 days of being registered with the state.

Learn more about the Corporate Transparency Act here.

To join a NYC Small Business Services CTA training, including translated trainings in Spanish, Chinese, and Korean click here.

If you have any questions please contact Natalie Vichnevsky.