FinCEN BOI filing refers to the Beneficial Ownership Information (BOI) filing required by the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury. This requirement is part of the Corporate Transparency Act (CTA), effective from January 1, 2024.
It mandates that certain U.S. businesses submit detailed information about the individuals who ultimately own or control them.
Why Is FinCEN BOI Filing Important?
The goal of BOI filing is to:
- Prevent financial crimes like money laundering and tax evasion
- Increase transparency in business ownership
- Help law enforcement agencies identify shell companies and illicit activity
Who Must File BOI Reports?
You are required to file a BOI report with FinCEN if your business is:
- A Corporation, LLC, or similar entity created in the U.S.
- A foreign company registered to do business in the U.S.
- Not exempt under the 23 exemptions listed in the CTA (e.g., large operating companies or regulated entities)
What Information Must Be Reported?
- Company Information:
- Legal name, DBA (if any), business address
- State of formation
- EIN (Employer Identification Number)
- Beneficial Owner Information:
- Full name, date of birth, home address
- ID number and image (driver’s license, passport)
- Company Applicant Info: (for entities created on or after Jan 1, 2024)
When Is the Deadline to File?
- Companies created before Jan 1, 2024 must file by Jan 1, 2025
- Companies created in 2024 must file within 90 days of formation
- Starting Jan 1, 2025, new companies must file within 30 days
Is There a Fee for FinCEN BOI Filing?
No, BOI filing with FinCEN is free and can be done at boiefiling.fincen.gov.
Penalties for Non-Compliance
Failure to file or providing false information may result in:
- Civil penalties up to $500 per day
- Criminal penalties up to $10,000 and/or 2 years in prison
Final Thoughts
If you’re asking “what is FinCEN BOI filing”, it’s a mandatory report under federal law that ensures your business is compliant and transparent. Take action before your deadline to avoid penalties.
