The Corporate Transparency Act Means Jail Time for Small Business Owners

https://www.newsweek.com/corporate-transparency-act-means-jail-time-small-business-owners-opinion-1894964

by miles • 2 years ago

4 6 2 years ago

Opinion piece by https://en.wikipedia.org/wiki/Tommy_Tuberville

Terr_• 2 years ago

The goal of the CTA was to crack down on shell companies used to commit crimes. The reality is lawbreakers are not going to file with FinCEN.

What do they do instead? That isn't easily detectable or prosecutable?

LLCs with more than 20 employees and greater than $5 million in revenue do not have to file with FinCEN—another win for the special interest groups over We the People.

Would any other laws or regulations would make ownership of those 25%-or-more stakes identifiable anyway?

maxerickson• 2 years ago

I love the complaint that there's unfair tests that ease the requirement for bona fide businesses, separating them from citizens who use LLCs to invest in real estate or to protect their assets.

Limited liability is regulation, so it's absurd to complain about extra rules for limited liability corporations being overreach. The new rules might be misguided, but it's incoherent to say that an adjustment to what is allowed under an existing set of regulations is an overreach.

like_any_other• 2 years ago

Perhaps it's not technically 100% correct to describe it as specifically "overreach", but a two-year jail term for forgetting an obscure piece of paperwork is not reasonable, and is guaranteed to be abused.

In making such nitpicky technical complaints, are we not throwing out the baby with the libertarian bathwater?

buffalotides• 2 years ago

IANAL. Current details of what is going on...

Court of Appeals overturns the order blocking enforcement of Beneficial Ownership Information reporting requirements (2024-12-23)

https://www.nfib.com/news-article/fifth-circuit-appeals-cour...

dabinat• 2 years ago

I don’t have a problem with filing this information (I am a business owner) but the government has done an abysmal job at communicating this to people. I only heard about it because my accountant happened to mention it a couple of weeks ago. They should give people a grace period before they start enforcement.

The Corporate Transparency Act Means Jail Time for Small Business Owners

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