Beneficial Ownership – The Corporate Transparency Act
On March 21, 2025, the U.S. Department of the Treasury announced that the Financial Crimes Enforcement Network (FinCEN) has issued an interim final rule that removes the requirement for domestic companies and persons to report beneficial ownership information (BOI) under the Corporate Transparency Act. Under the interim final rule, only entities formed under the law of a foreign country and that have registered to do business in the United States are required to report beneficial ownership information (BOI) to FinCEN.
The Corporate Transparency Act of 2019 was enacted on January 1, 2021. According to 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.
Please note that reporting companies are not required to file beneficial ownership information with the South Carolina Secretary of State’s Office. All inquiries regarding beneficial ownership information reporting requirements should be directed to FinCEN.
Certificates of Status ScamsSeveral business filing customers have reported that they have received mailings from entities claiming that they need to pay hundreds of dollars to obtain items that are available directly from state and federal agencies either for free or for a minimal fee. Certificates of Existence can be obtained directly from the Secretary of State’s Office for a $10.00 fee, which is set by statute. Please do not order a certificate of existence or other government documents through these third-party scam businesses. |
Consumer Protection and Education
The South Carolina Department of Consumer Affairs and the Federal Trade Commission both provide valuable resources that can help consumers avoid fraudulent transactions and scams.
South Carolina Department of Consumer Affairs
The South Carolina Department of Consumer Affairs offers consumer education programs that cover a wide range of topics including identity theft, mortgage issues, credit reports and miscellaneous information on avoiding scams and fraud.
Federal Trade Commission
The Federal Trade Commission (FTC) works under federal laws to protect and educate consumers. The FTC offers information on many topics including automobiles, credit and loans, and investments and business opportunities. The FTC Consumer Information webpage contains many free publications to help alert consumers on how to avoid fraud and scams.
Complaints Against Businesses
The Secretary of State's Office does not receive complaints against business entities. Additionally, the Secretary of State's Office does not have the authority to investigate business entities. Consumers who have complaints against South Carolina businesses arising out of the promotions or sale of consumer goods or services should direct their complaints to the South Carolina Department of Consumer Affairs. Consumers may also direct their complaints to the Better Business Bureau.
Do Not Call Registry
The Do Not Call Registry is a national registry under the jurisdiction of the Federal Trade Commission that assists citizens in reducing the phone calls that they receive from telemarketers. While registration of your phone number will not end all calls, it should decrease the number of unwanted telemarketing calls you receive. You may register your home phone and cell phone numbers on the Do Not Call Registry.
Complaints Against State Agencies (Executive Branch)
Anyone suspecting fraud, waste, abuse, mismanagement, misconduct, violations of state or federal law, and wrongdoing in any agency under the Executive Branch should report it to the Office of the State Inspector General. Citizens may file complaints online or call the Office of the State Inspector General at 1-855-723-7283 (1-855-SC-FRAUD).