FinCEN Identifiers – Do I Need One?

A FinCEN Identifier is a unique number assigned by FinCEN that can be used in place of personally identifiable information, such as name, birth date, address, and identifying document, when reporting Beneficial Ownership information under the CTA.

FinCEN Identifiers can be obtained both for individuals and for Reporting Companies. Individuals may apply for a FinCEN Identifier at any time, while Reporting Companies may only apply for a FinCEN Identifier either simultaneously with the submission of their initial BOI Report or at any time thereafter.

Obtaining a FinCEN Identifier can be a smart move, particularly for individuals, for a couple of reasons.

First, it can simplify the reporting process. Instead of having to report their personal information every time they are a Beneficial Owner or Company Applicant for a Reporting Company, individuals may simply report their FinCEN Identifiers.

Secondly, it likely provides an added layer of security. Every time an individual is forced to disclose their personal information, they are at risk of that information being breached or used by the recipient nefariously. To be able to report just their FinCEN Identifier mitigates the risk of personal information being compromised.