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#507382 - 03/02/06 10:04 PM CTR Exemption Renewal with Busines Name Change
DoorKey Offline
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Joined: Nov 2002
Posts: 228
Wisconsin
We have a business that we have exempted from CTR reporting. It is time for the biennial renewal. We have found out that the business has changed its name (ownership type) by going from an INC to a LLC. Does this still qualify for a renewal of exemption or would we need to do an initial designation based on the new company name? To our knowledge, the prinicpals behind the company have not changed.

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#507383 - 03/03/06 03:02 PM Re: CTR Exemption Renewal with Busines Name Change
kw@fnb Offline
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Joined: Jul 2004
Posts: 135
Beatrice, NE
There are legal differences between and INC and an LLC. I think it would need to be designated as a "new" company.

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#507384 - 03/03/06 05:09 PM Re: CTR Exemption Renewal with Busines Name Change
BY THE RULES Offline
Member
Joined: Jun 2004
Posts: 86
NC
We had a similar situation a couple of years ago (customer exempted as LTD and changed to LLP). I'm not sure how much of a difference there is between the two, but we just made a change and submitted the biennial renewal since there hadn't been any change in ownership. We've had Safety and Soundess exams since then and no comments regarding that process. Of course, I realize that it doesn't necessarily mean it was the right way to handle the issue. Perhaps a call to your BSA Rep at IRS DCC, FinCEN would be best??

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#507385 - 03/05/06 09:09 PM Re: CTR Exemption Renewal with Busines Name Change
David Dickinson Offline
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David Dickinson
Joined: Nov 2000
Posts: 18,762
Central City, NE
Quote:

We have a business that we have exempted from CTR reporting. It is time for the biennial renewal. We have found out that the business has changed its name (ownership type) by going from an INC to a LLC. Does this still qualify for a renewal of exemption or would we need to do an initial designation based on the new company name? To our knowledge, the prinicpals behind the company have not changed.



When you exempt an entity, you are exempting them by TIN - not by name, account, etc. So, the $64,000 question is: Did the TIN change? If so, you have a new entity (new customer) and you cannot renew them. In fact, you would need to start over with them (1 year with your bank before exempting). If the TIN didn't change, the customer still exists and can be renewed.
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David Dickinson
http://www.bankerscompliance.com

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#507386 - 03/06/06 03:04 PM Re: CTR Exemption Renewal with Busines Name Change
DoorKey Offline
100 Club
Joined: Nov 2002
Posts: 228
Wisconsin
David--The EIN did not change. Would there need to be two DEP submitted? One to renew the exemption and another to amend the DEP for the name change?

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#507387 - 03/07/06 05:06 AM Re: CTR Exemption Renewal with Busines Name Change
David Dickinson Offline
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David Dickinson
Joined: Nov 2000
Posts: 18,762
Central City, NE
If the TIN did not change, then your customer still qualifies. I believe you can file one DEP to accomplish both(renew the exemption and amend the name change).
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David Dickinson
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#2073827 - 04/13/16 03:58 PM Re: CTR Exemption Renewal with Busines Name Change DoorKey
CML LHS Offline
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CML LHS
Joined: Oct 2014
Posts: 18
WA
I know this is an old thread, but hopefully someone still sees this question...
We have a situation similar to the above. Except, the original DOEP filed was due to the customer being a partnership made up of a subsidiary of a PTC and the PTC (Publicly traded company). They recently changed the name on the account to the subsidiary of the PTC. The EIN is different. If I understand correctly, we need to file a new DOEP for the new entity name and EIN? But we don't need to file a revocation for the other entity?

Thank you for your help!

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#2073849 - 04/13/16 04:41 PM Re: CTR Exemption Renewal with Busines Name Change DoorKey
rlcarey Offline
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rlcarey
Joined: Jul 2001
Posts: 78,965
Galveston, TX
Correct.
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