The U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN) has issued a final rule that establishes a beneficial ownership information reporting requirement for corporations, limited liability companies, and other entities in the United States. This rule is in line with the bipartisan Corporate Transparency Act (CTA) and aims to crack down on illicit finance and improve transparency. The rule requires these entities to report information about their beneficial owners, helping to prevent criminal activities and the use of anonymous shell companies. FinCEN Director Himamauli Das emphasizes the importance of this rule in protecting national security, intelligence, law enforcement, American taxpayers, and businesses. The rule addresses deficiencies in the U.S. anti-money laundering regime as identified by the Financial Action Task Force and fulfills commitments made by the United States. The rule will be effective from January 1, 2024, and reporting companies will have specific deadlines to submit their initial reports and subsequent updates. FinCEN plans to engage in additional rulemakings to establish access rules for beneficial ownership information and revise its customer due diligence rule. The agency is also developing the necessary infrastructure to enforce these requirements.
https://www.fincen.gov/news/news-releases/fincen-issues-final-rule-beneficial-ownership-reporting-support-law-enforcement