BOI Reporting: Deadlines, Penalties, and How We Can Help

BOI Reporting: Deadlines, Penalties, and How We Can Help

As of January 1, 2024, many businesses in the United States must comply with a new federal reporting requirement: Beneficial Ownership Information (BOI) reporting. This requirement, part of the Corporate Transparency Act, mandates that businesses report information about their beneficial owners—the individuals who ultimately own or control the business.

In this post, we will focus on the deadlines, penalties, and how 9FIFTEEN Accountants can manage this process for you, ensuring your business remains fully compliant.

What is BOI Reporting?

BOI reporting is a new federal mandate overseen by the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury. The purpose of this requirement is to improve transparency and curb illicit financial activities like money laundering by ensuring that businesses report the identities of individuals who own or control at least 25% of a company.

Who Needs to File?

Any company that meets the following criteria must file BOI reports:

  • Corporations
  • Limited Liability Companies (LLCs)
  • Foreign companies registered to do business in the U.S. by filing with a state or tribal office.

There are exemptions for certain types of entities, such as publicly traded companies, nonprofits, and some large operating companies.

BOI Reporting Deadlines

Deadlines for BOI reporting depend on the date your business was formed or registered:

  • Existing Companies (Formed Before January 1, 2024):
    • You have until January 1, 2025, to file your initial BOI report.
  • Newly Formed Companies (Created After January 1, 2024):
    • You must file your BOI report within 90 days after your company’s creation or registration becomes effective.
  • Changes to Beneficial Ownership:
    • Any updates or corrections to your BOI must be submitted within 30 days after the change occurs.

Failure to meet these deadlines can result in severe penalties, so it’s essential to track these dates carefully.

Penalties for Failing to Comply

Not filing your BOI reports on time, providing false information, or failing to correct inaccuracies can result in significant penalties:

  • Civil Penalties: Fines of up to $500 per day may be imposed for failure to report or provide accurate information.
  • Criminal Penalties: In more serious cases, businesses that intentionally provide false information may face criminal penalties, including fines and potential imprisonment​.

Staying compliant with these requirements is crucial, as the penalties can quickly add up, leading to costly consequences for your business.

How 9FIFTEEN Accountants Can Help You Stay Compliant

BOI reporting can be confusing, but 9FIFTEEN Accountants is here to simplify the process for you. We specialize in handling BOI reporting for businesses, ensuring all deadlines are met and filings are accurate.

When you partner with 9FIFTEEN Accountants, we:

  • Track your reporting deadlines to ensure compliance.
  • Prepare and submit BOI reports on your behalf, ensuring all information is correct and up-to-date.
  • Handle updates and corrections if changes occur in your business’s beneficial ownership.

By letting us manage your BOI reporting, you can avoid penalties and ensure your business stays in good standing with regulators. With our help, you can ensure your BOI reports are filed on time, keeping your business compliant and protected from legal risks.

If you need help preparing your BOI reports or want to ensure that your business remains compliant, schedule a consultation with us today. Let us take the stress out of compliance and handle all your reporting needs.

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