More than half of the affected businesses are delaying their beneficial ownership reporting until the end of the year, according to a recent survey by Wolters Kluwer.
Wolters Kluwer, a global leader in providing information, software solutions, and services, is helping businesses navigate the approaching Corporate Transparency Act (CTA) filing deadline. Headquartered in Alphen aan den Rijn, the Netherlands, the company offers expert solutions that combine deep domain knowledge with technology and services.
The CTA, passed by Congress in 2021 to combat fraud, affects millions of businesses in the United States. According to the Financial Crimes Enforcement Network (FinCEN), 32.6 million entities must file by January 1, 2025. However, as of mid-November, only 8.5 million of these entities have submitted their Beneficial Ownership (BOI) reports with FinCEN.
A survey conducted by Wolters Kluwer's CT Corporation revealed that 37% of businesses are waiting until closer to the year's end to file their BOI reports. This delay could potentially lead to penalties, emphasizes Rupak Venugopal, Vice President of Beneficial Ownership at Wolters Kluwer Financial & Corporate Compliance. Venugopal emphasized the importance of businesses understanding their filing status and acting promptly to submit the required information on time.
The CTA requires many U.S. entities and foreign entities registered to do business in the U.S. to file a BOI report with the federal government. However, specific companies that have not yet complied with the requirements have not been publicly identified. Enforcement measures, including criminal liability, exist for non-compliance, but no detailed list or examples of such companies are provided.
To help businesses prepare for the CTA deadline, Wolters Kluwer offers an on-demand webinar, Preparing for the Corporate Transparency Act deadline. This resource provides insights into navigating the BOI reporting requirements and is available through the end of this year. Additional insights on BOI compliance can be found at Corporate Transparency Act Resources from CT Corporation Wolters Kluwer.
Wolters Kluwer serves customers in over 180 countries, maintains operations in over 40 countries, and employs approximately 21,400 people worldwide. The group can be followed on LinkedIn, Facebook, YouTube, and Instagram. Their solutions are also available at www.wolterskluwer.com.
It's worth noting that 12% of businesses cited insufficient resources as the reason for not filing their BOI reports yet. To address this, Wolters Kluwer offers a range of solutions designed to simplify the process and ensure compliance with the CTA requirements.
As the CTA filing deadline approaches, it's crucial for businesses to act promptly to avoid penalties and ensure compliance. With Wolters Kluwer's expertise and resources, businesses can navigate the CTA requirements with confidence.
