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June 07, 2024 | Posted in:

7 Essential Points to Know About BOI Reporting

With 32 million businesses expected to have to comply with new Beneficial Ownership Information (BOI) reporting requirements by FinCEN and the U.S. Treasury, it’s crucial to be well-informed. Here are 7 essential points to keep in mind as you navigate this requirement:

1. Know the deadlines.

Existing companies have until January 1, 2025 for their initial report, while new companies formed within 2024 have 90 days. Companies formed after January 1, 2025 must comply within 30 days.

2. Ongoing reporting.

BOI reporting isn’t a one-time task. Entity changes must be reported within 30 days of the change.

3. Create a FinCEN Identifier.

Visit https://www.fincen.gov/boi to create a free online account to facilitate reporting.

4. Penalties for noncompliance.

Willful noncompliance can result in fines of up to $10,000 and two weeks imprisonment.

5. Beware of scammers.

Fraudsters may attempt to exploit the BOI requirement for personal gain. Be vigilant and verify communications from state or federal agencies.

6. Responsible reporting.

You are responsible for accurate reporting and filing for updates, not a third-party — penalties apply to business owners, not advisors.

7. Stay informed.

Regularly check FinCEN’s website and FAQs for updated filing requirements and information. Although there is pending legislation which challenges BOI reporting, a legal decision before the January 1, 2025 deadline is unlikely.

Going Forward with BOI Compliance

As a trusted advisor, Alloy Silverstein provides essential updates on BOI reporting to help businesses stay compliant. While we currently don’t file BOI reports, we’re here to assist with any questions or concerns.

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