2024 Corporate Transparency Act Developments and Proposed FinCen Reporting Requirements for Real Estate Sellers

Overview

U.S. Department of Treasury’s Financial Crimes Enforcement Network (FinCEN) imposed a new reporting requirement that went into effect on January 1, 2024. Millions of businesses may have to file a Beneficial Ownership Information (BOI) Report. In a surprise turn of events, the Federal District Court from the Northern District of Alabama ruled on March 1, 2024 in National Small Business United v. Yellen (“NSB”) that the CTA is unconstitutional. This course will discuss the CTA’s provisions and the court’s decision in NSB. Also covered will be future implications for business entities and steps to consider given the recent ruling.

We will also discuss recent proposed rulemaking by FinCen with respect to nonfinanced purchases of residential real estate and gratuitous transfers so that businesses can prepare for any additional reporting burdens that might arise.

**Please Note: If you need credit reported to the IRS for this IRS approved program, please download the IRS CE request form on the Course Materials Tab and submit to kori.herrera@acpen.com.

Highlights

Background of the Corporate Transparency Act
Beneficial Ownership Information Reporting (BOIR) Rule
Entities required to report
Reporting requirements imposed by the CTA
Due dates of reports
Information needed to satisfy the BOIR
Impact of failure to report
How to submit a report
Court rulings on CTA’s unconstitutionality
Implications to entities as a result of the ruling in NSB
Potential reporting requirements due to FinCen’s proposed rulemaking with respect to non-financed purchases of residential real estate and gratuitous transfers

Prerequisites

None

Designed For

This course is suitable for Corporate tax and finance executives, directors, managers and staff, CPAs, CAs Enrolled Agents, accountants, attorneys and business/financial advisors who work with and advise businesses and individuals that have these tax implications. All in-house and public practice tax professionals will benefit from this timely and insightful seminar.

Objectives

Analyze the CTA’s reporting requirements for certain businesses
Discuss how the business will file its reporting requirements with FinCEN relating to the beneficial owners
Identify who must file a report and what information must be provided
Understand the necessary information needed for each Reporting Company.
Identify which individuals must be included in the report.
Know which entities are excepted from filing.
Know what the penalties are imposed for not reporting on a timely basis
Be able to formulate a plan for reporting post-NSB.
Discuss the potential implications of FinCen’s proposed rulemaking with respect to non-financed purchases of residential real estate and gratuitous transfers