Filing a Beneficial Ownership Information Report

The BOI report is designed to provide transparency about who owns and benefits from a state registered business. It requests identifying information about the entity’s beneficial owners (the individuals who directly own or control 25% or more of a company).

The purpose of the reporting requirement is to make it more difficult for unscrupulous individuals to get away with illegal or improper gains through shell companies or other questionable ownership arrangements. It will provide the U.S. government with information that can potentially help it enhance national security and protect financial systems from criminals who traffic drugs, commit fraud, launder money, and engage in other illicit activities.

Information Required for the Beneficial Ownership Information Report

Filing a Beneficial Ownership Information Report involves submitting specific details about each beneficial owner. The information required includes:

• Full legal name

• Date of birth

• Residential or business address

• Unique identifying number from an acceptable identification document, such as a passport or driver’s license

Providing accurate information is crucial, as it ensures the ownership of companies remains transparent and accountable, a key goal of the Corporate Transparency Act.

What is the Filing Deadline for This New Reporting Requirement?

For a business formed prior to January 1,2024 - December 31, 2024 

For a business formed this year -  within 90 days of formation

Penalties for Not Reporting by the Deadline

A company could face civil penalties of up to $500 per day for each day, per each shareholder beyond the report due date if it fails to provide complete and accurate BOI information.