The US Treasury announced that it WILL NOT enforce penalties or fines associated with Beneficial Ownership reporting between now and March 21, 2025. FinCEN will not enforce any penalties or fines after the upcoming rule change on March 21, 2025, against US citizens or domestic reporting companies. New proposed rulemaking will only focus on reporting by foreign reporting companies. The BOI Filing requirement is still in effect, but without penalty or enforcement for not filing. |
The Corporate Transparency Act of 2019 was enacted on January 1, 2021. According to the U.S. Treasury Financial Crimes Enforcement Network (FinCEN), the law is an effort by the U.S. government to make it more difficult for bad actors to hide behind shell companies or other opaque ownership structures.
Beginning January 1, 2024, many companies will be required to report beneficial ownership information to FinCEN. Beneficial ownership information, as defined by FinCEN, is identifying information about the individuals who directly or indirectly own or control a company. Beneficial ownership information pursuant to the Corporate Transparency Act of 2019 is not filed with the Secretary of State’s Office.
For more information on reporting requirements, filing deadlines, and how to determine if your company falls under one of the exemptions set forth in the Corporate Transparency Act, please refer to the following:
United States Department of the Treasury Financial Crimes Enforcement Network | FinCEN.gov
Beneficial Ownership Information Reporting | FinCEN.gov
Beneficial Ownership Information Reporting Frequently Asked Questions
Beneficial Ownership Reference Materials
| All inquiries regarding beneficial ownership information should be directed to FinCEN. |