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Various organizations have weighed in on FinCEN’s proposed reporting forms regarding legally required identifying information for each beneficial owner. As has been officially declared, the Corporate Transparency Law (CTA) includes in its requirement the identification of a final beneficiary.

Taking into account the reports issued by FinCEN since the Corporate Transparency Act (CTA) went into effect on January 1, 2024, it establishes that a reporting company must submit a BOI report identifying each of its beneficial owners. The report must provide the full legal name, date of birth, residential address, a unique identification number (such as a driver’s license or passport), and an image of the document containing the unique identification number, for each of the effective beneficiaries.

We already know that a company that prepares its Beneficial Ownership Report (BOI) in accordance with the Corporate Transparency Act (CTA) has the obligation to identify each of the members of its board of directors (or directors) as final beneficiaries. Although FinCEN regulations do not require a reporting company to list all members of the board of directors as beneficial owners, there are some practical considerations that should be considered when preparing the report.

The U.S. Treasury’s Financial Crimes Enforcement Network has determined its priorities for monitoring and enforcing the law against entities and individuals that fail to comply with their Beneficial Ownership Report (BOI) reporting responsibility.

One of the most important aspects to consider within the new Corporate Transparency Law (CTA) are the risks of reporting the Beneficial Ownership InformationReport (BOI) without proper legal advice. Even the United States Department of the Treasury within the Financial Crimes Control Network warns public accountants to be careful when preparing BOI reports, which poses a significant risk in the event that company shareholders do so by themselves or without the support of a lawyer knowledgeable on the subject.

A frequently asked question when discussing the new Corporate Transparency Act (CTA) is whether an entity that is dissolved before December 31, 2024 would still be required to submit an information report on its beneficial owners (BOI). This question is very important.