Yes, BOI (Beneficial Ownership Information) filing is mandatory for most companies in the U.S. under the Corporate Transparency Act (CTA), which became effective on January 1, 2024. The law requires certain businesses to report information about their beneficial owners to FinCEN (Financial Crimes Enforcement Network).
Who Must File?
BOI filing is mandatory for:
- LLCs, corporations, and other entities formed by filing with a state office
- Foreign companies registered to do business in the U.S.
These companies are required to file unless they meet one of 23 specific exemptions, such as:
- Large operating companies (with over 20 full-time employees and $5M+ in revenue)
- Banks, credit unions, insurance companies
- Certain inactive entities
BOI Filing Deadlines
- New entities (formed in 2024): Must file within 90 days of formation
- Existing entities (before Jan 1, 2024): Must file by January 1, 2025
- Entities formed after Jan 1, 2025: Must file within 30 days
Why Is BOI Filing Mandatory?
BOI reporting helps the U.S. government fight money laundering, terrorist financing, and corruption by increasing corporate transparency. Non-compliance can result in severe penalties, including fines and imprisonment.
Stay Compliant with Ease
To avoid mistakes and penalties, consider using trusted platforms like FormLLC.us to file your BOI report accurately and on time.
