The Corporate Transparency Act Beneficial Ownership Information Reporting

Beneficial Ownership Reporting Requirements


The Corporate Transparency Act, adopted by U.S. Congress to enhance corporate transparency and combat financial crimes, is designed to make it more difficult for bad actors to hide or benefit through shell companies or other unclear ownership structures.

Under the Corporate Transparency Act, Beneficial Ownership Information Reporting requires that most all companies—including LLCs and corporations (except for a limited number of exempt organizations)— submit a Beneficial Ownership Information (BOI) report to the Financial Crimes Enforcement Network of the Dept. of Treasury, detailing information about the company's beneficial owners, who are individuals who exercise significant control over the company or own or control at least 25% of the company's ownership interests. 

The deadline to comply with this reporting requirement depends on when your company was formed or registered to do business: 

  • Companies created or registered to do business before January 1, 2024 will have until January 1, 2025 to file the initial BOI report. 

  • Companies created or registered to do business on or after January 1, 2024 and before January 1, 2025 will have 90 calendar days after registration/formation to file the initial BOI Report. 

  • Companies created on or after January 1, 2025 will have 30 calendar days after registration/formation to file the initial BOI Report. 


HOW TO FILE A BENEFICIAL OWNERSHIP INFORMATION REPORT


You can file online at https://boiefiling.fincen.gov/. We understand the importance of staying compliant with evolving regulations and are here to help navigate the BOI filing requirements. If you are required to report your company's beneficial ownership information or have questions about the process, please reach out.



Disclaimer: This post discusses general legal issues and developments, is intended to serve as informational only, and may not reflect the most current law in your jurisdiction. These informational materials are not intended, and should not be taken, as legal advice on any particular set of facts or circumstances. No reader should act or refrain from acting on the basis of any information presented herein without seeking the advice of counsel in the relevant jurisdiction.  Archetype Legal PC expressly disclaims all liability in respect of any actions taken or not taken based on any contents of this article.