What the Corporate Transparency Act Means for Your Business
- david57936
- Apr 7
- 3 min read
Morales & Levine, P.A. | Business Law Attorneys
The Corporate Transparency Act (CTA) introduces new reporting requirements designed to combat illicit financial activities by increasing transparency in business ownership. At Morales & Levine, P.A., our experienced business law attorneys are committed to helping small business owners, entrepreneurs, and corporate entities navigate these important changes smoothly and efficiently.
What is the Corporate Transparency Act?
The CTA is a federal law that requires most corporations and limited liability companies (LLCs) in the U.S. to disclose Beneficial Ownership Information (BOI) to the Financial Crimes Enforcement Network (FinCEN). The goal of this legislation is to enhance business transparency and prevent financial crimes such as money laundering and tax evasion.
What Information Must Businesses Report?
Businesses are required to file a BOI report with FinCEN that includes:
Company Information:
Full legal name of the company
Trade or fictitious (DBA) names
Principal business address
Jurisdiction (state, tribal, or foreign) where the company was formed
IRS Taxpayer Identification Number (TIN), such as an Employer Identification Number (EIN)
Beneficial Owner and Company Applicant Information:
Full legal names
Residential addresses
Dates of birth
Identification numbers from valid government-issued documents (passport or driver's license)
Scanned copies of these identification documents
Who Qualifies as a Beneficial Owner?
Under the Corporate Transparency Act, a beneficial owner is any individual who:
Exercises substantial control over the company, or
Owns or controls at least 25% of the company's ownership interests.
Understanding who qualifies as a beneficial owner is critical to ensure CTA compliance. Our business compliance attorneys can help you assess and identify the correct individuals.
Who is the Company Applicant?
The company applicant is the individual who files the formation documents (such as Articles of Incorporation or Articles of Organization) with the state. If Morales & Levine, P.A. or another business law firm filed these documents for you, the person who submitted the filing is considered your company applicant.
Please note: The company applicant is not responsible for submitting your BOI report. That responsibility remains with the business owner.
Is Beneficial Ownership Information Public?
No. All BOI submissions are confidential. The information is securely stored by FinCEN and can only be accessed by authorized government agencies for legitimate law enforcement and national security purposes.
Corporate Transparency Act Filing Deadlines
Staying compliant with the CTA means knowing your filing deadlines:
Businesses formed before January 1, 2024: File your BOI report by January 1, 2025.
Businesses formed between January 1, 2024, and December 31, 2024: File within 90 days of receiving formation articles.
Businesses formed on or after January 1, 2025: File within 30 days of receiving formation articles.
CTA Compliance Checklist: Steps to Take Now
Gather your documentation:
Identification documents, legal names, addresses, and business formation information.
Obtain an EIN:
If you haven’t already, apply for an EIN online through the IRS.
Submit your BOI report:
Keep in mind: This is a one-time filing, but you must update your report if any submitted information changes.
Work with Experienced Business Law Attorneys
At Morales & Levine, P.A., we understand that CTA compliance can feel overwhelming. Our knowledgeable business law team offers full legal support to help you understand your obligations under the Corporate Transparency Act and avoid penalties.
Whether you're starting a new business, managing an existing company, or simply want peace of mind that you’re compliant with federal regulations, we’re here to help.
📞 Contact Morales & Levine, P.A. today to schedule a consultation with a Florida business lawyer and ensure your BOI reporting is done right.
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