
Created: Thursday, October 26, 2023
The Corporate Transparency Act
The U.S. government is quietly phasing in a new reporting requirement for a broad range of business and not-for-profit entities beginning January 1, 2024, under the Corporate Transparency Act (CTA) which was passed in fiscal 2021. The CTA is meant to prevent the use of shell companies to conceal the profits of criminal activities by creating a database, the Beneficial Ownership Secure System (BOSS). The only authorized users of this database will be federal and state governmental agencies, as well as financial institutions performing required due diligence with customer consent, and foreign law enforcement agencies/authorities who submit qualifying requests.