BOIR Filing Deadlines: What You Need to Know

The Corporate Transparency Act (CTA) mandates that businesses file Beneficial Ownership Information Reports (BOIRs) with the Financial Crimes Enforcement Network (FinCEN). These reports require businesses to disclose information about their beneficial owners—individuals who own or control 25% or more of the company or exert significant influence over its operations. 

Understanding BOIR Filing Deadlines 

Businesses Formed Before January 1, 2024: 
Initially, these entities were required to file their BOIRs by January 1, 2025. However, due to a legal challenge, this deadline was temporarily paused. With the injunction lifted, the updated filing deadline is now January 13, 2025

Businesses Formed On or After January 1, 2024: 
Typically, these businesses must file their BOIRs within 30 days of formation or registration. However, FinCEN has extended this timeline to 90 days for businesses created or registered in 2024, providing additional time to comply with the reporting requirements. 

Penalties for Non-Compliance 

Failure to comply with the BOIR filing requirements can lead to serious repercussions, including: 

  • Civil Penalties: 
    FinCEN may impose fines of up to $500 per day for each day a report is overdue. 
  • Criminal Penalties: 
    In some cases, non-compliance may result in criminal charges, including fines of up to $10,000 and/or imprisonment for up to 2 years
  • Reputational Damage: 
    Beyond financial and legal consequences, non-compliance can harm a company’s reputation, eroding trust among investors, customers, and other stakeholders. 

Key Takeaways 

  • Compliance with BOIR filing deadlines is critical under the Corporate Transparency Act. 
  • Penalties for non-compliance can be severe, including financial fines, criminal charges, and reputational harm. 
  • Businesses should take advantage of the extended deadlines for 2024 and work closely with professionals to meet their obligations. 

Conclusion 

The BOIR filing requirements are more than just regulatory obligations—they represent an opportunity for businesses to align with ethical standards and strengthen their reputation. By prioritizing compliance, businesses contribute to a safer and more transparent financial system. 

Disclaimer: This article is for informational purposes only and does not constitute legal or professional advice. Please consult qualified professionals for specific legal and compliance matters.