FinCEN's BOI Reporting Deadline: 01/01/2025 - Pierre, SD Businesses Should File Now to Avoid Possible Penalties!
The Corporate Transparency Act (CTA) requires certain U.S. businesses to report their beneficial owners to the Financial Crimes Enforcement Network (FinCEN) in order to improve transparency and combat financial crimes like money laundering and tax evasion.
As of today, November 27, 2024, Pierre, South Dakota business owners have 35 calendar days (or 25 business days) left to file their Beneficial Ownership Information (BOI) report with FinCEN—don't wait, or you could face fines of $500 per day!
Action Items:
1. Determine if your business needs to file a BOI report.
Does your business meet these "reporting company" criteria?
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Corporation or LLC formed in the U.S.
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Not exempt (e.g., publicly traded companies, large operating businesses, or regulated entities like banks).
2. Identify your beneficial owners and consider using ZenBusiness to simplify the process.
Who is a beneficial owner?
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Someone who has substantial control over the company or owns 25% or more.
3. Gather the required information for your BOI report.
Required information includes:
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Beneficial owner names, addresses, dates of birth, and identification documents.
4. File your BOI report.
Deadlines:
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Existing companies: 01/01/2025
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New companies (formed in 2024): 90 days after registration
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New companies (formed in 2025 or later): 30 days after registration
Click here to learn how ZenBusiness can help you identify your beneficial owners and file your BOI report with ease.
More About the BOI Filing:
Who Needs to File?
A "reporting company" is a business entity formed in the U.S., including most LLCs and corporations, that is not exempt from the CTA’s requirements. For instance, a small business in Pierre, South Dakota, like a local consulting firm, would likely need to file. However, certain large businesses like banks or publicly traded companies do not need to report.
What is a Beneficial Owner?
A beneficial owner is someone who either has substantial control over a business or owns at least 25% of the business’s ownership. For example, if one of the founders of a Pierre-based restaurant owns 30% of the company and has a say in its operations, they would be considered a beneficial owner.
What Information is Needed?
To file the BOI report, you’ll need personal and business details. This includes the names, addresses, dates of birth, and identification numbers of both the company and its beneficial owners. Be sure to have this information ready, as accuracy is crucial.
How and When to File:
The BOI report must be filed electronically through FinCEN’s system. Deadlines depend on when the company was created:
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Existing companies: By 01/01/2025
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New companies formed in 2024: Within 90 days of formation
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New companies formed in 2025 or later: Within 30 days of formation.
Penalties for Non-Compliance:
Failure to file or providing false information can result in fines of up to $500 per day and possible imprisonment. There is a 90-day safe harbor period during which businesses can correct mistakes without facing penalties.
Get Help with ZenBusiness:
ZenBusiness can assist you in navigating the BOI filing process by ensuring your forms are accurate and filed on time, saving you valuable time and helping you avoid fines. Learn more about how ZenBusiness can support you here.
More BOI Resources:
Take our quick BOI survey by December 18, 2024 and support our Chamber! It only takes a few minutes, and for every 25 responses, our Chamber will receive a $100 donation. [Click here to take the survey now!] Thank you for your support!
*As of December 3, 2024, a Texas federal district court has issued a preliminary injunction for all states to block the CTA and its relevant regulations. However, filing your BOI will help you avoid fines if this injunction is overruled.
This Hot Deal is promoted by Pierre Area Chamber of Commerce.
