The Corporate Transparency Act and Your Business

In passing the Corporate Transparency Act January 1, Congress made the first major update to U.S. money-laundering laws in 20 years.

While not-for-profits and larger and strictly-regulated companies which already report activities are exempt, your small corporation, LLC, or similar entity is not.

Starting in January 2022, Congress’ deadline for issuing regulations, you will have to file “beneficial ownership” with the Financial Crimes Enforcement Network (FinCEN) if you “exercise substantial control over the company” or own or control at least 25 percent of the ownership interests of the company. There are a few exceptions: minors, nominees/agents, employees who only have control in relationship to their employment, people who hold own a right of inheritance, and creditors who are not beneficial owners.

If you don’t file on time, be prepared to pay a civil penalty of up to $500 per day and risk imprisonment. Don’t worry- these kinds f penalties are commonly included in such laws but are not enforced for innocent mistakes. Still, it shows how serious Congress is.

Be certain to keep up-to-date on the reporting requirements.

COVID-19 Advisory

Dent Law Offices, Ltd. is committed to the well-being of our team and clients, as well as third parties. During this time we are taking extra precautions to protect everyone with whom we interact while continuing to provide excellent service. Many of our clients are health-compromised and/or elderly, so we feel the only responsible approach is to be conservative. We are limiting in-person meetings as practicable and using the following protocols:

  1. Remember that much of our business can be handled by telephone or video conference.
  2. While our team is working, some remotely, our doors remained locked to control traffic. If you arrive unannounced/ unscheduled, please understand that, even without precautions, our on-site team maybe running errands or occupied with other clients/ meetings/ phone calls. It is best to call first to assure that someone will be able to assist you on arrival.
  3. When you arrive for any appointment/ drop in, please knock. Someone will be with you as soon as possible.
  4. Please wear a mask, even if you arrive only to drop off/ pick up documents.
  5. If you only need to drop off or pick up documents, please use our drive-thru window, located in the pass-through to our parking lot. For after hours drop-offs, a secure drop slot is located next to that window.
  6. If a discussion is necessary or you are here for an appointment, you will be taken to a private room near the entrance. You will also be required to wear a mask and to maintain social distancing.
  7. Again, we all need to do our part for the most vulnerable people requiring legal assistance at this time.”