This is a report that financial institutions must file with the Financial Crimes Enforcement Network (FinCEN) for any cash transaction or series of related cash transactions that exceed $10,000 in a single day. This requirement applies to transactions involving currency, including coin and paper money of the United States or any other country.
The CTR aims to help detect and prevent money laundering, tax evasion, and other financial crimes by creating a paper trail of large cash transactions. Law enforcement agencies can use the information collected in CTRs to identify individuals or businesses that may be engaged in illegal activities.
Financial institutions required to file CTRs include:
- Banks
- Credit unions
- Money services businesses (MSBs), such as check cashers and money transmitters
- Casinos and card clubs
- Brokers or dealers in securities
- Mutual funds
- Futures commission merchants and introducing brokers in commodities
CTRs must be filed within 15 days of the transaction’s date. The report must include information about the individual or business conducting the transaction, such as their name, address, and Social Security number or Taxpayer Identification Number (TIN), as well as details about the transaction itself, including the amount and denomination of the currency.
Some exceptions exist to the CTR filing requirement, such as transactions involving certain types of businesses or government agencies. However, financial institutions must diligently monitor transactions and file CTRs when required to ensure compliance with anti-money laundering (AML) regulations.
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Additional Acronyms for CTR
- CTR - Click-Through Rate