Starting on January 1 2024, your company may be required to report information about the people who own or control it to the US Treasury Department’s Financial Crimes Enforcement Network (FinCEN). FinCEN promotes national security and protects the US financial system from fraud and abuse by criminals and corrupt officials.
Many corporations, Limited Liability Companies (LLCs), and other entities created in or registered to do business in the United States will likely be required to report their beneficial ownership information to FinCEN. There are 23 categories of those entities that may be exempt including some types of larger companies, banks, credit unions, tax exempt entities registered with the IRS, and public utilities.
Per the employment law attorneys at Chase Law Group (a Lomita Chamber member):
“A reporting company will need to furnish various details, including its legal name and any trade name or Doing Business As (DBA), its address, the jurisdiction in which it was formed or first registered (depending on whether it’s a U.S. or foreign company), and its Taxpayer Identification Number (TIN).”
Click here to read more about this new rule and how it may apply to your business.
Be sure to visit the US Treasury FinCen website for resources.
Should you have any questions regarding your company’s employment law concerns, contact an employment attorney for guidance.