WATCH: Understanding the New Beneficial Ownership Reporting Requirements

November 21, 2024

News

WATCH: Understanding the New Beneficial Ownership Reporting Requirements

Did you know that a new federal rule under the Corporate Transparency Act (CTA) requires more than 32 million small businesses to report the personal information of business owners to a new federal database? If your business was formed before 2025, your deadline to file, which is January 1, 2025, is quickly approaching.

More than 50 small business owners joined State Director Chad Heinrich, Executive Director of NFIB’s Small Business Legal Center, Elizabeth Milito, and Director of Federal Government Relations, Josh McLeod in a virtual event to discuss the new Beneficial Ownership Information reporting requirements and NFIB’s support of the Repealing Big Brother Overreach Act, a bill introduced to repeal the CTA.

During the virtual event, participants were able to learn how NFIB has fought against the CTA both in Congress and in the courtrooms, ask questions, and view NFIB’s compliance resources.

CLICK HERE to watch the virtual event.

During the virtual event, McLeod said:

“On January 1st of 2025, FinCEN, which is this agency of Treasury, will start enforcing this new requirement on small businesses with under 20 employees and 5 million in sales. So truly the smallest of the small. […] You won’t hear about this from the Chamber of Commerce or other larger business groups that represent businesses with over 20 employees, because their memberships are not directly affected as strongly as NFIB. NFIB has been opposing this thing for many, many years. We’re pretty much one of the lone organizations in town that continues to fight on this issue.”

A bit of good news: Rep. Eli Crane (R-AZ) joined Reps, Debbie Lesko (R-AZ) and Andy Biggs (R-AZ) in cosponsoring the Repealing Big Brother Overreach Act. NFIB will continue working with lawmakers to repeal the CTA and relieve small businesses of the Beneficial Ownership Reporting requirements.

Questions? Resources about Beneficial Ownership Reporting requirements, including a webinar and podcast episodes can be found at NFIB.com/ProtectPrivacy. If you have questions, email info@nfib.org.