What are the new reporting requirements?
Effective January 1, 2024, the Corporate Transparency Act requires many companies to report information about who owns or controls the company to the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury. Failure to report the information to the federal government can result in both civil and criminal action.
Who is required to report?
•Companies formed or based in the USA and foreign companies registered to do business in the USA
•However, there are 23 types of entities that are exempt from the reporting requirements, including non-profits and certain “large operating companies” that have reported over $5,000,000 in revenue.
What are the deadlines for reporting BOI?
•If your company was formed before January 1, 2024, then you must report by January 1, 2025.
•If you form your company in 2024, you must report within 90 days of formation.
•If you form your company on or after January 1, 2025, you must report within 30 days of formation.
How do you report for ownership information with FinCEN and comply with the new law?
Complete your report on the FinCEN website for free.
How often do you need to report information?
Business owners only need to report their ownership information once, plus each time there are changes in ownership, which must be made within 30 days.
Want more information?
Be sure to review FinCEN’s Small Entity Compliance Guide and their FAQs, which provide information to help small businesses comply with the new reporting requirements.
Need assistance filing your report? Contact us at Aspire Law
