In this episode of Adam Talks, Adam Bergman, Esq. will discuss the Corporate Transparency Act, which will go into effect next year, what you need to do, and who must comply.
This episode is a discussion about the Corporate Transparency Act (CTA) and its implications for LLCs, corporations, and Self-Directed IRA LLCs in the United States. Adam Bergman explains that starting January 1, 2024, entities with less than 20 full-time employees and less than $5 million in revenue must file a beneficial ownership interest report (BOI report) with FinCEN within 30 days of establishment. Failure to comply may result in fines of up to $10,000 and potential jail time.
Bergman highlights that the Act aims to combat money laundering and terrorism by collecting information on beneficial ownership interests. He expresses concerns about the burden this will impose on businesses and potential workarounds, such as using trusts or charities to evade the reporting requirements. Additionally, the discussion emphasizes the need for compliance and the potential consequences for failing to adhere to the new regulations.
Bergman acknowledges that IRA Financial will provide compliance services for its clients, stating that the company will assist in filing the BOI report for IRA LLCs within the required time frame. He also notes the complexity of the process, including the need for accurate and timely reporting of changes to company details.
The discussion raises questions about the effectiveness of the Act in achieving its intended goals and expresses skepticism about its potential impact on addressing money laundering and terrorism. Bergman emphasizes the significance of the Act, comparing it to major legislative changes and expressing the intent to educate and support businesses in navigating the new requirements.
In conclusion, Bergman expresses gratitude for the support and feedback received, emphasizing the importance of educating the audience about the implications of the Corporate Transparency Act. He encourages listeners to stay informed and prepared for the upcoming changes, suggesting that compliance with the Act will be a crucial focus in the coming year.