Important Information

New Federal Reporting Requirement for Beneficial Ownership Information (BOI)

We are writing to you regarding new reporting requirements for many businesses, which can include single member and multi member LLCs, as well as C and S corporations. Starting January 1, 2024, certain businesses will be required to comply with the Corporate Transparency Act (CTA) which includes the filing of beneficial ownership (BOI) reports. These reports will be administered by the financial crimes enforcement network and establishes a database of companies’ beneficial ownership information to be used by law enforcement. This is not an Internal Revenue Service (IRS) issue.

NOTE: This will be a free filing that companies can complete themselves. Be wary of official-looking mail from a third-party company offering to complete the beneficial ownership reporting on behalf of your company for a fee.

Do I need to report?

Most businesses are small businesses that may need to file. Your company may need to report information about its beneficial owners if it is:

A corporation, a limited liability company (LLC), or was otherwise created in the United States by filing a document with a secretary of state or any similar office under the law of a state or Indian tribe; or
A foreign company and was registered to do business in any U.S. state or Indian tribe by such a filing.

How do I report?

Reporting companies will have to report beneficial ownership information electronically through FinCEN’s website: www.fincen.gov/boi.

When do I report?

Reports will be accepted. Starting on January 1, 2024.

If your company was created or registered before January 1, 2024, you will have until January 1, 2025, to report BOI.
If your company is created or registered on or after January 1, 2024, and before January 1, 2025, you must report BOI within 90 days of notice of creation or registration.
If your company is created or registered on or after January 1, 2025, you must report BOI within 30 days of notice of creation or registration.
If there is any change to the required information about your company or its beneficial owners in a BOI report that your company filed, your company must file an updated BOI report no later than 30 days after the date on which the change occurred. The same 30-day timeline applies to changes in information submitted by an individual in order to obtain a FinCEN identifier. A reporting company is not required to file an updated report for any changes to previously reported personal information about a company applicant.

There are significant penalties for missing filing deadlines, including criminal (fines and/or imprisonment) or civil (monetary) penalties. There is a $500 per day penalty, up to $10,000, and imprisonment of up to two years for the WILLFUL failure to timely file initial or updated reports.

There are fewer than 120 days left to submit your BOI report.

Assisting with compliance and/or filing of the CTA, including reporting, is not within the scope of services we provide. It will be your exclusive responsibility to comply with CTA, including its BOI reporting requirements. Information can be found at https://www.fincen.gov/boi.

Please consult with legal counsel on additional questions and/or concerns regarding how BOI reporting requirements and issues affects your company.
Harbor Compliance, a market leader located in Greenfield Business Park in Lancaster, 1-888-995-5895, can make meeting the requirements very simple by assisting you with filing these reports. To file using their services, please visit their website at www.harborcompliance.com and select "Beneficial Ownership Reporting" from the "Services" dropdown. You will then be guided through the process of filing the report. If you file the reports using Harbor Compliance, for a limited time you can use promo code RCH2024 to save 10% on their service fees.

Finally, we wish to emphasize that we are sending you this letter to make you aware of these current reporting requirements, associated risks, and suggest you contact legal counsel to assist you with the CTA and related BOI filings for entities that you own or control.