Proposed Bill May Make LLC & Corp Ownership Public Record

Law May Make LLC & Corp ownership public record

Should Everyone Know What You Own?

A proposed bill in the Senate and House would require the collection of beneficial ownership information for all LLCs and Corporations formed or registered in the USA. The Legislation was put forth on August 2, 2017 by Marco Rubio (R-FL) and Ron Wyden (D-OR) in the Senate and Carolyn Maloney (D-NY) in the House.

A reason given for enacting the proposed law is that criminals create entities to engage in terrorism, drug trafficking, tax evasion, money laundering, securities and financial fraud and foreign corruption. Any increase in government requires customary and credible bogeymen.

Required Information & Who It Applies to

Senate Bill 1717 — entitled the “Corporate Transparency Act of 2017” — would require new regulations designed to identify the beneficial owners of a company, those being natural persons (or individuals). These people must provide their residential or business street address and their passport or driver’s license number so that the government can keep track of them. The Act would apply to both new and existing LLCs and Corporations. The Act would exempt businesses that employ more than 20 people, have gross annual receipts of more than $5,000,000 and have a physical U.S. office.

Similar bills requiring the collection of ultimate beneficial ownership information have been put forth in Congress. None of them have ever made it out of the committee. Is this because the “criminal lobby” is too powerful? Or is it because many Americans believe there is a limit as to what information the government should collect?

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