This article discusses new measures that the Treasury Department is taking to crack down on illegal financial activity. “The US Treasury Department has announced a customer due diligence (CDD) final rule, proposed beneficial ownership legislation, and proposed regulations related to foreign-owned, single-member limited liability companies (LLCs), in an effort to target tax evasion, money laundering, and other illicit financial activities.” Treasury Secretary Jacob Lew is also encouraging Congress to take further legislative action. “The CDD final rule adds a new requirement that financial institutions – including banks, brokers, or dealers in securities, mutual funds, futures commission merchants, and introducing brokers in commodities – collect and verify the personal information of the beneficial owners who own, control, and profit from companies when those companies open accounts.” This article discusses some of the other changes that the Treasury Department is announcing.
See Mike Godfrey, US Treasury Drafts Beneficial Ownership Legislation, Tax-News, May 9, 2016.
