A new development emerges to “fight crime”, you will now need to register your corporation to identify who you are as a beneficial owner of a corporation. For many decades business owners have enjoyed the privacy and protection of the corporate structure however this may be limited in duration as the new agency of the Federal Government the Financial Crimes Enforcement Network has been established (FinCEN).
according to : https://www.fincen.gov/about/mission
The mission of the Financial Crimes Enforcement Network is to safeguard the financial system from illicit use, combat money laundering and its related crimes including terrorism, and promote national security through the strategic use of financial authorities and the collection, analysis, and dissemination of financial intelligence.
Just a new layer of an already existing Federal Agency, the Financial Fraud Enforcement Task Force (FFETF), These two will be helping stop the insurmountable amount of financial crime that we the People are suffering from every single day! not. But that is to regulate corporations and not the war machine, I mean there is no chance in site these agencies will stop the current governmental services corporation from laundering money to Ukraine. I mean it’s not like Mortgage Electronic Registrations Systems you know that lovely company that trades your mortgage on Wall Street as a mortgage-backed security without paying the local registrar of the county recorder office a filing fee every time a deed is traded hands. Never mind that nothing to see here.
But if you are operating a PMA or an unincorporated business trust there is no contract or obligation to register. Let’s look at their exemptions list to see if our PMA can qualify to not need to register. After all, Article 1 section 10 should protect the private obligations of contracts. As you will see in these excerpts the fact that, the act of recording or registering with a secretary of state enters the entity in the jurisdiction of federal control over your business activities. As long as you and your business are self-governed there is no need to report to the federal government. This is because the PMA is foreign to the jurisdiction of the Federal Government of the United States.
C. 6. Is a sole proprietorship a reporting company?
No, unless a sole proprietorship was created (or, if a foreign sole proprietorship, registered to do business) in the United States by filing a document with a secretary of state or similar office. An entity is a reporting company only if it was created (or, if a foreign company, registered to do business) in the United States by filing such a document. Filing a document with a government agency to obtain (1) an IRS employer identification number, (2) a fictitious business name, or (3) a professional or occupational license does not create a new entity, and therefore does not make a sole proprietorship filing such a document a reporting company.
[Issued December 12, 2023]
C. 4. Is a trust considered a reporting company if it registers with a court of law for the purpose of establishing the court’s jurisdiction over any disputes involving the trust?
No. The registration of a trust with a court of law merely to establish the court’s jurisdiction over any disputes involving the trust does not make the trust a reporting company.
[Issued November 16, 2023]
C. 3. Are certain corporate entities, such as statutory trusts, business trusts, or foundations, reporting companies?
It depends. A domestic entity such as a statutory trust, business trust, or foundation is a reporting company only if it was created by the filing of a document with a secretary of state or similar office. Likewise, a foreign entity is a reporting company only if it filed a document with a secretary of state or a similar office to register to do business in the United States.
State laws vary on whether certain entity types, such as trusts, require the filing of a document with the secretary of state or similar office to be created or registered.
- If a trust is created in a U.S. jurisdiction that requires such filing, then it is a reporting company, unless an exemption applies.
Similarly, not all states require foreign entities to register by filing a document with a secretary of state or a similar office to do business in the state.
- However, if a foreign entity has to file a document with a secretary of state or a similar office to register to do business in a state, and does so, it is a reporting company, unless an exemption applies.
Entities should also consider if any exemptions to the reporting requirements apply to them. For example, a foundation may not be required to report beneficial ownership information to FinCEN if the foundation qualifies for the tax-exempt entity exemption.
Chapter 1 of FinCEN’s Small Entity Compliance Guide (“Does my company have to report its beneficial owners?”) may assist companies in identifying whether they need to report.
[Issued November 16, 2023]