Dustin Sherer
Director of Government Affairs
Chad Smith
Associate News Service Editor, NAFB
Although the filing deadline has been extended, farmers and ranchers are once again required to provide beneficial ownership information following a recent court ruling. Chad Smith has more.
Smith: Farmers and ranchers who operate corporations and limited liability companies must reapply Beneficial Ownership Information with the Treasury Department’s Financial Crimes Enforcement Network. Dustin Sherer, government affairs director for the American Farm Bureau Federation, said an appeals court ruling overturned an earlier order delaying the filing requirement.
Sherer: So anyone who had that end-of-year deadline now has to re-file, and shortly after that, the federal government, FinCEN, issued a statement saying, for anyone who had that deadline, we will extend the filing deadline until January . 13.
Smith: Sherer says that the measure was originally intended to combat fraud, but that the rule is extremely broad.
Sherer: It’s information that the federal government says will help them identify shell companies used to launder money, and because they couldn’t come up with a good definition of a shell company, they created a definition that essentially qualifies any small business in America as a potential shell company.
Smith: Farm Bureau estimates that more than 230,000 farms are required to file a return. Therefore, check with your accountant or attorney to see if your farm or ranch meets the filing requirements.
Sherer: You should contact an attorney or your CPA, but if you have had to file any document with the state government to form your business entity, then you will most likely be required to submit your beneficial ownership information, and you must submit this to be safe.
Smith: Failure to report the crime could result in misdemeanor charges and up to two years in prison, as well as a large fine. For more information, visit fb.org. Chad Smith, Washington.