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#944737 - 04/17/08 07:35 PM CTR Form and Multiple Business Owners
YosemiteSamIAm Offline
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Guess
If you have a reportable transaction on a business with multiple owners (say a partnership), do you have to list out each partner in section A as beneficiaries of that transaction.
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#944754 - 04/17/08 07:46 PM Re: CTR Form and Multiple Business Owners YosemiteSamIAm
BrendaC Offline
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Sweet Home AL
No; a partnership is a formal business entity.
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#944919 - 04/17/08 09:38 PM Re: CTR Form and Multiple Business Owners BrendaC
Compliance Mom Offline
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Tennessee
hmmmm, we were criticized for failing to file on each individual in a partnership and had to back file the CTR.

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#944971 - 04/17/08 10:26 PM Re: CTR Form and Multiple Business Owners Compliance Mom
P*Q Offline

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Compliance Mom, did they also make deposits into their personal accounts?

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#945125 - 04/18/08 01:20 AM Re: CTR Form and Multiple Business Owners P*Q
rlcarey Offline
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Was this a formal or informal partnership?
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#945288 - 04/18/08 01:08 PM Re: CTR Form and Multiple Business Owners rlcarey
John Burnett Offline
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If the partnership is a legal entity, its owners should not be listed as persons on whose behalf the transaction was conducted when transactions are made on behalf of the partnership.

There is a ruling that suggests that you aggregate to report on the owner if entities are not operated separately and independently.

See FinCEN Ruling 2001-2
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#946105 - 04/18/08 09:56 PM Re: CTR Form and Multiple Business Owners P*Q
Compliance Mom Offline
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Tennessee
The particular transaction we were cited for only affected the partnership account.
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#946506 - 04/21/08 03:57 PM Re: CTR Form and Multiple Business Owners Compliance Mom
John Burnett Offline
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If you were dealing with deposits to the partnership's accounts and the partnership was real under state law, the CTRs should only be filed with the partnership listed as a person on whose behalf the transaction was filed. "Criticized" can mean a lot of things, Compliance Mom, and not all criticisms are well-founded.

Whether the criticism came from an examiner or from an auditor, I don't think it was correct. If you had a "do over," I'd recommend a firm push-back on such a criticism, with a request for documentation of the examiner's or auditor's basis for his/her comment.
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