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Corporate Transparency Act (CTA)

What does it mean for you and your business?

The US CTA took effect on January 1, 2024. It has far reaching reporting implications for many businesses, owners and directors. Our experienced team can help you understand its impact and how to ensure you and your business are compliant with the new rules.

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Governments around the world have been implementing measures to strengthen tax compliance and increase transparency regarding the beneficial ownership of entities and investment structures, with the goal of combating tax evasion, terrorism financing, money laundering and related crimes.

The US Corporate Transparency Act (CTA) applies to a wide range of US registered organizations, including many who have not had to report ownership information before now. Organizations that will now be required to report information include family businesses, LLCs and LLPs, as well as owners and directors who hold 25% or more of the ownership interests. 
 
While tax compliance and transparency is desirable, implementing and adhering to the reporting and filing requirements can be challenging for all those involved and fines of up to $10,000 and criminal penalties could be levied for failure to comply. For individuals concerned about privacy, there may also be steps you can take to help protect your privacy.

Our US based lawyers and our US qualified lawyers around the world can help you navigate the new CTA reporting requirements, exemptions and what information must be reported on business structures, beneficial ownership and the individuals involved.

Below you will find our guidance on the CTA.  To view the US Treasury Department's latest proposed rules on who can access newly disclosed information about companies' ownership and what safeguards will secure the information, click here.

Your CTA obligations


Please note that we are unable to advise you of the impact of the CTA without being specifically instructed and engaged to undertake an assessment on your behalf.  Please speak to your usual Withers' contact, or click the button here and a member of the team will be happy to help.  For further regulatory information, click here.

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Corporate Transparency Act: What business owners, directors and trustees need to know about their privacy

The US Corporate Transparency Act (CTA) is an addition to the Bank Secrecy Act that takes effect in January of 2024, and the goal of the CTA is to disclose beneficial ownership and control of companies. It requires a significant number of US businesses formed with secretaries of state to file reports with the US Department of Treasury's Financial Crimes Enforcement Network (FinCEN) from January 2024.

Resources: How will the CTA impact you?

Meet our CTA team

William J. Kambas

William J. Kambas

Partner | New York

William J. Kambas

Partner | New York

Private client and tax

Jaime McLemore

Jaime McLemore

Partner | London

Jaime McLemore

Partner | London

Private client and tax

Ivan A. Sacks

Ivan A. Sacks

Partner | New York

Ivan A. Sacks

Partner | New York

Private client and tax

Elizabeth A. Bawden

Elizabeth A. Bawden

Partner | Los Angeles

Elizabeth A. Bawden

Partner | Los Angeles

Private client and tax

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Our website will give you a flavour of the advice we provide - if you would like to talk to us for more information, please contact our client services team who will be happy to assist.

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