Preparing for Changes: A Guide to FINTRAC’s New Large Cash Transaction Report Form
In the world of finance and compliance, staying up-to-date with regulatory changes is essential. Recently, the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) has rolled out some crucial updates that businesses subject to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (the Act) need to be aware of. These changes involve the implementation of a new Large Cash Transaction Report form, designed to enhance reporting accuracy and efficiency.
Starting in October 2023, businesses will be required to use the new Large Cash Transaction Report form for submitting their reports. These changes are part of FINTRAC’s multi-year plan, driven by regulatory amendments published in the Canada Gazette, Part II, in 2019, 2020, and 2022.
The 24-Hour Rule: Understanding Aggregation
One significant update involves the 24-hour rule, which allows for the aggregation of large cash transactions. This change aligns with amended regulations that took effect on June 1, 2021. To help businesses understand the requirements for aggregating transactions, FINTRAC has updated its “Reporting transaction to FINTRAC: The 24-hour guidance.” You can find the draft guidance on their website. Keep in mind that this documentation is in its final stages of development, with minor changes expected until the official release in October 2023. If you have any questions about this guidance, don’t hesitate to reach out to FINTRAC through telephone at 1-866-346-8722 (toll-free) or via email at firstname.lastname@example.org.
Training Environment for Large Cash Transaction Reports
For businesses using the FINTRAC web reporting system (FWR), there’s good news. You can access an early release of the new Large Cash Transaction Report form, which will be in use from October 21 onwards. This form can be found under Section 2: Training reports. It’s an excellent opportunity to acquaint yourself with the new features and train your employees on how to complete reports. Do note that reports created in this training environment will not be submitted to FINTRAC. To access this early release, make sure to select a date of September 23, 2023, or later.
Have Questions? Reach Out!