Corporate Transparency Act Reporting Requirements

Important Compliance Update for Small Businesses

 

Small businesses across the country now face an important federal reporting requirement under the Corporate Transparency Act (CTA). With recent legal developments, businesses must ensure they understand and comply with this mandate, which aims to prevent money laundering and financial crimes.

New Compliance Deadline: March 21, 2025

Following a series of court rulings, the U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN) has established March 21, 2025, as the new deadline for existing businesses to submit required ownership information. Businesses impacted by federally declared disasters will follow their adjusted deadlines. However, certain businesses that secured legal injunctions—such as the National Small Business Association and its members—remain exempt for now.

During this 30-day compliance window, FinCEN has indicated that it may further adjust reporting deadlines, prioritizing businesses that pose significant national security risks.

Who Needs to Report?
Under the Corporate Transparency Act, most small businesses operating in the U.S. must provide details about their ownership structure. Specifically, businesses with fewer than 20 employees must submit:

• Names of owners
• Dates of birth
• Addresses
• Other identifying information

The requirement applies to companies registered to do business in the U.S., with exemptions for:

• Larger businesses with 20 or more full-time employees, over $5 million in revenue, and a physical U.S. presence
• Companies already reporting to the Securities and Exchange Commission
• Banks, broker-dealers, insurance companies, and other financial entities that already submit ownership information to the government

 

What Small Businesses Need to Know

This is NOT an annual requirement—businesses only need to report once unless ownership details change.

Businesses can file their reports through a dedicated tool on the FinCEN website.

The requirement, passed by Congress in 2021, remains a topic of debate among small business advocacy groups. Many had postponed filing due to ongoing legal battles, but with the injunction now lifted, compliance is necessary.

What’s Next?
With the reporting deadline approaching, small business owners should take action to determine if they need to comply. The Washington County Chamber of Commerce is committed to keeping our business community informed and will continue to share updates on any further regulatory changes.

For more information and to file your report, visit the FinCEN website. If you have questions about how this affects your business, consider consulting with a legal or financial professional.

Stay tuned to the Washington County Chamber Newsroom for updates.

Sources: Portland Business Journal and Thomson Reuters.