Is the Corporate Transparency Act more helpful or hurtful?

The Corporate Transparency Act (CTA) now requires certain businesses to report on their BOI (Beneficial Ownership Information). It is imperative that you report or your business could be subject to fines.

Why was this legislation created?

The CTA was started to address issues related to money laundering, tax evasion, and other illicit activities facilitated by the anonymous ownership of companies. The Act aims to increase transparency in corporate ownership by requiring certain companies to report their beneficial ownership information to the Financial Crimes Enforcement Network (FinCEN).

Do you think the CTA will hinder illegal activities or just put a larger burden on small business owners? It’s a valid question and one I frequently come across in my research. What do you think – is it helpful or hindering legislation?