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#2271027 - 05/31/22 04:04 PM Beneficial Ownership and Trusts
beegee Offline
Diamond Poster
Joined: Feb 2004
Posts: 1,098
South
We have an LLC that is owned by "A" Trust 25%, "B" Trust 25%, and Individual 25%. No other ownership is greater than 25%.

So for Beneficial Ownership I would would include:
Name: "A" Trust.
Ownership %: 25%.
CIP at least one trustee

Name: "B" Trust.
Ownership %: 25%.
CIP at least one trustee

Name: Individual
Ownership %: 25%.
CIP Individual

Question: if there are multiple trustee - do I have to have the ownership % of all trustees to answer the Ownership %.

Thx!

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#2271029 - 05/31/22 05:00 PM Re: Beneficial Ownership and Trusts beegee
rlcarey Offline
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rlcarey
Joined: Jul 2001
Posts: 79,663
Galveston, TX
Trustees do not own a trust - it is its own entity - nobody owns it.
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#2271031 - 05/31/22 05:31 PM Re: Beneficial Ownership and Trusts rlcarey
beegee Offline
Diamond Poster
Joined: Feb 2004
Posts: 1,098
South
Thanks! I think I understand.

I would just put Individual, A, B = 25%.

Then just CIP one of the trustees for each trust???

Is that correct?

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#2271034 - 05/31/22 05:43 PM Re: Beneficial Ownership and Trusts beegee
rlcarey Offline
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Joined: Jul 2001
Posts: 79,663
Galveston, TX
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#2271035 - 05/31/22 06:01 PM Re: Beneficial Ownership and Trusts rlcarey
beegee Offline
Diamond Poster
Joined: Feb 2004
Posts: 1,098
South
Thanks rlcarey!

I read the Q&A but I guess I am uncertain more specifically - how do I complete this section of the form for the trust?

This addendum should be used when there is legal entity or entities that owns 25% or more of the legal entity customer opening this account.

Legal Entity Name: Trust A
% Ownership in Legal Entity Opening the Account: 25%

Name: Trustee
Date of Birth: 123
Address: 123
For U.S. Persons: Social Security Number: 123
For Non-U.S. Persons: Passport Number and Country of Issuance, or other similar identification number
Ownership %: ?????

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#2271036 - 05/31/22 06:09 PM Re: Beneficial Ownership and Trusts beegee
BrianC Offline
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BrianC
Joined: Nov 2004
Posts: 6,326
Illinois
Beneficial owners have to be natural persons. You don't have to list the trust anywhere. You list one of the trustees.
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#2271037 - 05/31/22 06:26 PM Re: Beneficial Ownership and Trusts beegee
RockChucker, CAMS Offline
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Joined: Jul 2013
Posts: 1,657
The Country
One way to simplify your process is to not actually track the percentages, just know that if someone is listed they represent 25% or more.
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#2271592 - 06/13/22 08:57 PM Re: Beneficial Ownership and Trusts beegee
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 39,704
Cape Cod
If a trust owns 25% or more of the legal entity, you do not identify the trust as the beneficial owner. You identify a natural person who is a trustee of the trust.

John Jones, Trustee
John Jones's personal info
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