New Company Reporting Requirement BOI
Beneficial Ownership Information Report (BOIR)
Congress passed the Corporate Transparency Act (“CTA”) on January 1, 2024 to prevent bad actors to hide funds through complex ownership structures.
Part of the CTA requirement existing companies to disclose their Beneficial Ownership Information (BOI) to the Financial Crimes Enforcement Network (“FinCEN”). and it applies to most LLCs, closely held corporations and similar entities. The beneficial owners are individuals who, directly or indirectly, own or control a significant portion of a reporting company. You will have until January 1, 2025, to report your beneficial ownership information.
- For any company created or registered in the year 2024, the beneficial ownership information must be reported within 90 calendar days after the the State accepts the Articles of organization as “filed.”
- For any company created or registered on or after January 1, 2025, you must report information within 30 calendar days after the State accepts the Articles of organization as “filed.”
Many companies are trying to upsell you on the “benefit” of filing this “complicated” process for a fee ( usually $99) but the process is very simple can can be done online for FREE.
Failure to comply will be expensive: The CTA sets out that failure to report beneficial ownership information may subject violators to penalties of up to $500 for each day that the violation continues. Violators may also be subject to criminal penalties.
The US Government via their FINANCIAL CRIMES ENFORCEMENT NETWORK website has provided a website for managers/owners to do this for free at:
No need to pay extra to file this disclosure form.
A good short video on the process is from Matt Bontrager YouTube channel
