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Writer's pictureLa 'Pass Productions, Inc

WHAT IS CTA ?

What do the acronyms CTA stand for? I asked this myself. After doing some online research

on corporate transparency, there it was! Although this CORPORATE TRANSPARENCY ACT or CTA does not apply to every entity, it is worth reviewing. The ACT was passed by Congress on January 1, 2021 as part of the National Defense Authorization Act.


Google/AI: The Corporate Transparency Act (CTA) is a federal law that requires certain entities to report information about their owners and control persons to the Financial Crimes Enforcement Network (FinCEN). The CTA was passed by Congress on January 1, 2021 as part of the National Defense Authorization Act.


The CTA requires the following: 

  • Beneficial ownership reporting

    Certain entities, such as corporations and limited liability companies, must file a Beneficial Ownership Information (BOI) Report with FinCEN.


    The CTA's goals are to: 


  • Prevent and combat money laundering, terrorist financing, corruption, and tax fraud 


  • Stop individuals with malicious intent from hiding or benefiting from the ownership of U.S. entities 


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