Ensuring Comprehensive Coverage for Corporate Transparency Act Filings

As the CEO of FincenFetch, I am keenly aware of the challenges firms face in complying with the Corporate Transparency Act (CTA) and the complexities involved in filing Beneficial Ownership Information (BOI) reports. The CTA mandates that companies disclose detailed ownership information to FinCEN, aiming to curb illicit activities such as money laundering and terrorism financing. However, the potential for errors and the severe consequences of non-compliance or inaccuracies is a true concern, and one that our platform addresses in four ways to assure accurate filings.

Availability of Insurance Coverage

One of the primary concerns for firms is ensuring they have insurance coverage for services related to the CTA. As outlined in the CNA’s recent coverage statement, accounting firms are generally covered by insurers for professional services associated with the CTA, provided they adhere to policy terms and conditions.

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What About Unauthorized Practice of Law (UPL)

While it may not be widely known, FinCEN has explicitly stated that accountants can assist in filing these reports. In Section B7 of their BOI FAQ, FinCEN specifically recommends consulting professional service providers, including lawyers and accountants, for help with reporting obligations: “Reporting companies that need help meeting their reporting obligations can consult with professional service providers such as lawyers or accountants.” State Bar associations have significant authority in determining what constitutes the practice of law and follow government regulations and publishings to determine UPL boundaries. With FinCEN clearly recommending accountants engage with these filings, the risk of UPL issues are minimal.

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How FincenFetch Enhances Compliance and Mitigates Risks

FincenFetch is designed to address these concerns directly, offering features that minimize the risk of errors and limit liability for firms. Here’s how our platform helps ensure accurate and compliant CTA filings:

1. Automated Data Verification: FincenFetch utilizes AI tools to extract and autofill BOI information on reports from the required ID uploads. These tools reduce errors that could occur from mistyping information during the data collection process.
2. Guided Compliance Processes: Our platform provides step-by-step guidance tailored to the specific legal requirements of FinCEN filing. This feature helps firms collect accurate information from clients to avoid filing penalties.
3. Updated Report Reminders and Alerts: We keep clients aware of updated report requirements and provide real-time alerts for any discrepancies or issues detected in the filings when submitted to FinCEN. This proactive approach enables firms to rectify potential problems before they escalate.
4. SOC2 Secure Data Handling: Security is paramount. FincenFetch ensures that all data is encrypted and stored securely, protecting sensitive ownership information from unauthorized access and potential breaches.

Minimizing Liability with FincenFetch

By integrating FincenFetch into their operations, firms can significantly reduce their liability related to CTA filings. Our platform’s robust features not only help in avoiding common pitfalls but also provide a safety net through automated checks and compliance guidance.

Insure Your Firm Against the Odds

Managing Corporate Transparency Act regulations requires both diligent compliance efforts and strong technological support. FincenFetch is committed to providing firms with the tools they need to file accurate BOI reports while minimizing risks and liability. By leveraging our BOI software solution, firms can confidently manage their CTA compliance, knowing they are well-protected against potential errors and legal challenges.

For more information on how FincenFetch can support your firm’s compliance needs and help ensure accurate, error-free CTA filings, schedule a demo or message me directly.