# New Corporate Transparency Act May Impact LLC Attractiveness
**URL:** https://www.mineralrightsforum.com/t/new-corporate-transparency-act-may-impact-llc-attractiveness/69085
**Category:** Law & Legal
**Created:** [December 22, 2022, 6:12pm UTC](https://www.mineralrightsforum.com/t/new-corporate-transparency-act-may-impact-llc-attractiveness/69085 "2022-12-22T18:12:30Z")
**Posts on this page:** 5
**Page:** 1
### Author:  [@Richard\_Winblad](https://www.mineralrightsforum.com/u/Richard_Winblad)
#### Post date: [December 22, 2022, 6:12pm UTC](https://www.mineralrightsforum.com/t/new-corporate-transparency-act-may-impact-llc-attractiveness/69085/1 "2022-12-22T18:12:30Z")
Beginning January 1, 2024, a federal law known as the Corporate Transparency Act will require most LLCs and corporations to register their _ **beneficial owners** _ and those who control the operations of these businesses. This act impacts millions of LLCs, corporations, partnerships, and other entities registered under state law. For most static, single-owner entities, this should not be much of a headache. However, family entities may require reporting when management changes, when an owner dies, or even if an owner moves. The law is designed to unmask money laundering, tax evasion, and other crimes but burdens the vast majority of honest business owners.
The law has hefty penalties for non-compliance.
Most private trusts will be exempt from the reporting requirements. Those currently on the fence on whether to use an LLC or a trust may want to review the CTA requirements.
[Beneficial Ownership Information Reporting Rule Fact Sheet | FinCEN.gov](https://www.fincen.gov/beneficial-ownership-information-reporting-rule-fact-sheet)
Don’t shoot the messenger. Just reporting what is about to happen.
_ **This post is not legal, tax or investment advice. Reading or responding to this post does not create an attorney/client relationship.** _
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### Author:  [@tracy\_lenz](https://www.mineralrightsforum.com/u/tracy_lenz)
#### Post date: [December 24, 2022, 4:18am UTC](https://www.mineralrightsforum.com/t/new-corporate-transparency-act-may-impact-llc-attractiveness/69085/2 "2022-12-24T04:18:40Z")
Oh wow, that’s good to know. Thanks for sharing!
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### Author:  [@Virginia\_Pflum](https://www.mineralrightsforum.com/u/Virginia_Pflum)
#### Post date: [December 27, 2022, 4:14am UTC](https://www.mineralrightsforum.com/t/new-corporate-transparency-act-may-impact-llc-attractiveness/69085/3 "2022-12-27T04:14:04Z")
Thanks for the information. Happy New Year
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### Author:  [@sclausen](https://www.mineralrightsforum.com/u/sclausen)
#### Post date: [February 8, 2023, 1:48am UTC](https://www.mineralrightsforum.com/t/new-corporate-transparency-act-may-impact-llc-attractiveness/69085/4 "2023-02-08T01:48:20Z")
Another speed bump from the government that will require legal and accounting assistance. But entities are useful for many tax and non-tax purposes so this new reporting requirement should not stand in the way of the formation and maintenance of entities that achieve various objectives.
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### Author:  [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [March 22, 2023, 6:13pm UTC](https://www.mineralrightsforum.com/t/new-corporate-transparency-act-may-impact-llc-attractiveness/69085/5 "2023-03-22T18:13:09Z")
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