Important Update: New Beneficial Ownership Information Report Requirements

We want to make sure you’re informed about an important regulatory update that could impact your business. Starting soon, businesses will be required to file a Beneficial Ownership Information Report. Here’s everything you need to know to stay compliant:

What Is the Beneficial Ownership Information Report?

The Beneficial Ownership Information Report is a new requirement that mandates businesses to disclose key information about the individuals who ultimately own or control the company. This is part of broader efforts to enhance transparency and prevent financial crimes such as money laundering and fraud.

Who Needs to File?

This requirement applies to:

• Corporations: Both public and private.
• Limited Liability Companies (LLCs): Including those formed or registered to do business.
• Partnerships: General and limited partnerships.

Key Details for Filing:

• Deadline: The initial filing must be completed by December 31, 2024. New Businesses created in 2024 have 90 days after the creation of the business to file. It’s crucial to submit your report before this deadline to avoid fines and penalties.
• Required Information: The report must include:
  • Full legal name
  • Date of birth
  • Residential address
  • Identification number (e.g., passport, driver’s license)
  • The nature of their ownership or control
• How to File: Reports should be submitted through https://boiefiling.fincen.gov/boir/html. Make sure to complete all required forms and provide accurate information.

Who Is a Beneficial Owner?

Beneficial owners are individuals who, directly or indirectly, own or control a significant percentage of the company, or have substantial influence over its operations. This typically includes:

• Those owning 25% or more of the company’s equity.
• Those with significant control over the company’s decisions or operations.

Why This Is Important:

1. Compliance: Adhering to this requirement helps you avoid potential fines and legal issues.
2. Transparency: Filing this report promotes a transparent business environment, which can enhance your company’s credibility with financial institutions and partners.
3. Prevention: The report helps prevent the misuse of corporate structures for illegal activities, supporting a fair business environment.

What You Should Do Now:

1. Gather Information: Collect and verify the necessary details about all beneficial owners within your organization.
2. Understand the Regulations: Review the guidelines for filing the report. Consider seeking advice from legal or compliance experts if needed.
3. File on Time: Ensure that your report is completed and submitted by the deadline. Double-check all information for accuracy.

Need Help?

If you have any questions or need assistance with the filing process, RSK TAX & CONSULTING, LLC is here to support you. Feel free to contact us at info@rsktax.com for expert advice and personalized help.

Thank you for your attention to this important matter. Ensuring compliance with these new requirements will help safeguard your business and contribute to a more transparent and compliant marketplace.

​