Corporate Transparency Act

Faegre Drinker is here to guide you

Overview

Reporting obligations under the Corporate Transparency Act (CTA) are in effect. The law, which used to apply to both domestic and foreign companies, currently only applies to foreign companies that have registered to do business in any US territory or Tribal jurisdiction. Absent an applicable exemption, foreign companies first registered to do business in any such jurisdiction on or after March 26, 2025, must file with the Department of Treasury's Financial Crimes Enforcement Network (FinCEN) certain beneficial owner information, entity information and “company applicant" information within 30 days of registration. Moreover, such companies have an ongoing obligation to report updated or corrected information to FinCEN.

Some states have proposed legislation that is similar to the federal CTA and at least one state has passed such a law. New York State presently has a transparency law, the New York LLC Transparency Act (NYLTA), which only applies to limited liability companies formed outside of that United States that are registered to do business in New York.

Faegre Drinker’s corporate transparency act task force is here to guide you. We can assist your company in fully understanding the CTA’s and the NYLTA’s requirements to ensure compliance; conduct assessments of your current practices to identify potential risks related to required disclosures; represent clients in the event of regulatory inquiries or enforcement actions; and provide continued educational support and guidance as the CTA, the NYLTA and other state laws continue to evolve.