Congratulations! You Started A New Business.
Failing To Comply With The BOI Reporting Mandate Could Cost Your New Business Thousands Of Dollars!
What Is A BOI Report And Why Is It Important?
The Corporate Transparency Act (CTA) is a law that went into effect on January 1, 2024, to help combat financial crimes like money laundering and tax fraud. The CTA requires certain new businesses operating in the United States to file their initial Beneficial Ownership Information (BOI) report within 90 days of creation with the US Treasury Departments’ Financial Crimes Enforcement Network (Fin CEN).
BOI reporting was enacted to help with:
- Combatting Financial Crimes by helping to prevent money laundering, tax evasion and corruption.
- Protecting National Security by preventing financing of terrorism and proliferation of weapons of mass destruction.
- Promoting Market Integrity by preventing market manipulation and insider trading.
- Protecting Consumers by knowing who they are dealing with and holding businesses accountable.
BOI reporting is a critical tool for improving transparency and safeguarding the US financial system from a variety of threats. While there are some concerns about privacy and administrative burdens, the benefits of increased transparency outweigh these concerns. FinCEN will store the information that is collected in BOI reports in a secure, non-public databases and access will be provided to law enforcement and other authorized investigators like the Department of Justice and the Treasury Department.
Businesses that don't comply with the CTA can face civil penalties of $500 per day up to $10,000 as well as criminal penalties including jail time for willful non-compliance. Businesses are permitted to prepare and file their BOI report at no cost directly with Fin CEN if they are comfortable doing so. This is a significant reporting requirement and should not be taken lightly. Failure to properly submit complete and accurate information can result in non-compliance.
Contact Us Today For Help Filing Your New Companies BOI Report
What Information Is Required On A BOI Report?
Company Information
- Full legal name and any trade names: Specify the official legal name of the company, along with any other names it operates under (e.g., "DBA" names).
- Current address: Provide the company's main physical address within the United States (PO boxes are not allowed).
- Jurisdiction of formation: Indicate the state or Indian tribe under whose laws the company was formed or registered.
- Taxpayer identification number (TIN): Provide the company's federal tax identification number (e.g., EIN).
Beneficial Owner Information
For each individual identified as a beneficial owner:
- Full legal name: Include the first, middle, and last name as listed on a valid government-issued identification document.
- Date of birth: Provide the complete date of birth.
- Residential address: Indicate the beneficial owner's current street address within the United States (PO boxes are not allowed).
- Unique identifying number and image: Submit a copy of the front and back of a valid government-issued identification document (e.g., passport, driver's license) that confirms the beneficial owner's identity and matches the information provided.
Other Information
- Type of ownership interest: Specify the nature of the beneficial owner's ownership interest (e.g., percentage of shares, voting rights).
- Date on which control began: Indicate the date when the beneficial owner gained control over the company or exceeded the 25% ownership threshold.
- Method of control exercise: Describe the means through which the beneficial owner exercises control over the company (e.g., board membership, voting agreements).
Additional Requirements
- Failure to provide accurate and complete information my result in civil penalties.
- Updates to any reported information (including changes to company or beneficial owner details) must be filed within 30 calendar days.
How Can North Star Tax Relief Help Me Comply?
It's simple. Let an experienced professional handle the process for you.
We take the guess work, uncertainty and stress out of the BOI reporting mandate.
How does the process work if North Star Tax Relief files my BOI report?
- Click on the link below to submit your contact information.
- A member of our team will reach out to you before the close of business today to answer any questions you have and collect the information required for the report.
- Pay the electronic Invoice we send to you via email or text from your smartphone or pc.
- Within 72 hours you will receive a copy of the transcript from your companies BOI report submission.
- Review the transcript of your companies report for any potential errors and if required, contact us for any corrections that may be needed.
- Once you have approved your final submission, download and retain a copy of the transcript for your company records.
How Much Does North Star Tax Relief Charge For BOI Reporting?
We charge a simple flat fee of $149 for companies with up to 5 beneficial owners.
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