By David K. MacLeod, CFA, CFP®

We want to make sure the new federal Beneficial Ownership Information (BOI) report to FinCEN is on your radar, if you are required to complete it. The penalties for late filing are stiff so we recommend you don’t put it off.

Congress passed legislation in 2021 that requires certain business entities to report who their owners are, in an effort to crack down on tax fraud and money laundering.

The report can be done online and is due by 12/31/2024. Here’s a link:

https://fincen.gov/boi

Corporations and LLCs need to disclose all owners with >25% ownership interest in the entity and anyone who exercises substantial control (President/CEO).

It should be a straightforward report for most businesses. For more complicated ownership structures, some CPAs are offering to prepare it for their clients.

This is not an annual requirement – only when there’s a change in the reported information will an updated report be required.

A number of entities are exempt from filing such as 501(c)3 charities, banks, and large corporations.

Here’s an article with more information.

Please feel free to call us if you have any questions.