Filing Deadline for CTA Returns: Small Businesses Must Comply

The CTA deadline is back on. If your business was established or registered before January 1, 2024, you must file by January 13, 2025. If your business was registered between September 4 and December 23, 2024, you will have an extended filing period.

All registered business entities operating in the United States are legally required to comply with the filing requirements of the CTA. To be specific, this regulation calls for the filing of the Beneficial Ownership Information Reports (BOIRs), which would be information about individuals who actually own or control a business and have significant ownership or decision-making authority within the organization.

So, why the sudden need for action?

A December court ruling initially paused the BOI reporting requirement. That decision was overturned, however, on December 23, 2024. In light of various considerations, the Financial Crimes Enforcement Network (FinCEN) has extended the deadline for filing to January 13, 2025. This decision reflects the agency’s commitment to ensuring that all parties have sufficient time to comply with the new regulations and requirements set forth. Yet another 5th Circuit panel reinstated the hold on the requirement, sending the whole matter into further limbo. Still, the most recent decisions have made BOI reporting mandatory again.

Following recent legal developments, businesses are now required to submit BOIRs as per the CTA. Act now to avoid penalties that could strain your business and its operations.

Who Must File?

Most small to mid-sized businesses, except for certain exempted entities like publicly traded companies.

What to Report?

You’ll need to provide details like your beneficial owners’ names, residential addresses, birthdates, and ID numbers (like a driver’s license or passport).

Why It’s Required?

To prevent fraud, money laundering, and other financial crimes by making it difficult to hide behind anonymous and intricate business structures.

Organizations that may be subject to the CTA’s reporting requirements must file immediately with the FinCEN by the specific deadlines. Filing can be completed through the FinCEN website, designed to be user-friendly. Ensuring compliance with the CTA’s BOIR requirements is crucial, as non-compliance may result in significant penalties.

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