On December 16, 2022, FinCEN posted a proposed rulemaking on the access by authorized recipients to beneficial ownership information (BOI). BOI must be reported to FinCEN pursuant to Section 6403 of the Corporate Transparency Act (CTA). The proposed regulation would implement the strict protocols on security and confidentiality required by the CTA to protect sensitive personally identifiable information (PII) reported to FinCEN. The NPRM explains the circumstances in which specified recipients would have access to BOI and outlines data protection protocols and oversight mechanisms applicable to each recipient category. The disclosure of BOI to authorized recipients in accordance with appropriate protocols and oversight will help law enforcement and national security agencies prevent and combat money laundering, terrorist financing, tax fraud, and other illicit activity, as well as protect national security. FinCEN is also proposing regulations to specify when and how reporting companies can use FinCEN identifiers to report the BOI of entities.
Comments are due on February 14, 2023.
Read the notice at Regulations.gov
Submit comments at:
• Federal E-rulemaking Portal: https://www.regulations.gov. Follow the instructions for submitting comments. Refer to Docket Number FINCEN-2021-0005 and RIN 1506-AB49/AB59.
• Mail: Policy Division, Financial Crimes Enforcement Network, P.O. Box 39, Vienna, VA 22183. Refer to Docket Number FINCEN-2021-0005 and RIN 1506-AB49/AB59.
Advocacy contact: Jennifer A. Smith at Jennifer.Smith@sba.gov.