From staff reports With key deadlines approaching, the National Cattlemen’s Beef Association is reminding cattle producers to speak with their tax attorneys about the Corporate Transparency Act.
Passed in 2021 by Congress, the Corporate Transparency Act requires companies to report beneficial ownership information to the Financial Crimes Enforcement Network, a division of the U.S. Department of the Treasury. The legislation aims to reduce financial crime but will impact producers with fewer than 20 employees that are structured as corporations or companies registered with the secretary of state.
“Farmers and ranchers need to speak with their tax attorneys to make sure they are not in violation of this new law, and to submit necessary information to FinCEN before the Dec. 31 deadline,” said NCBA Tax and Credit Committee Vice Chair Jeff Magee, a Mississippi cattle producer and former Internal Revenue Service agent. “I strongly encourage you to review the resources on www. fincen.gov/boi to determine if the Corporate Transparency Act applies to your business. Deadlines are coming up soon and failing to comply with the law can carry a fine of $500 per day and possible jail time. For more information, contact FinCEN and consult your attorney or tax professional.”
For companies registered and operating before Jan. 1, 2024, the deadline to file this report is the end of 2024. Companies registered or created in 2024 have 90 days from the date of registration or creation to file their report. In 2025, the reporting period will be reduced to 30 days.
The reports require basic identifying information like legal name, date of birth and home or business address. Resources, including a frequently asked questions document and a Small Entity Compliance Guide, and the filing form are available online at www. fincen.gov/boi.
Producers with additional questions should contact FinCEN by calling (800) 767-2825 or (703) 905-3591.