The Corporate Transparency Act (CTA) mandates that businesses disclose their Beneficial Ownership Information (BOI) to FinCEN to combat financial crimes like tax evasion and money laundering.
As of today, November 27, 2024, Ukiah, California business owners have 35 calendar days (or 25 business days) left to file their BOI report with FinCEN—don't delay, or you could face fines of $500 per day!
Action Items for Ukiah Businesses:
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Determine if your business needs to file.
Criteria: Corporations, LLCs, and similar entities in the U.S. must file unless they’re exempt (e.g., banks, publicly traded companies, nonprofits). -
Identify your beneficial owners.
Definition: Individuals with substantial control or 25%+ ownership. Example: A small local store owner with a 30% stake qualifies. -
Gather required BOI information.
Details: Beneficial owners' names, addresses, dates of birth, ID documents, and business details (e.g., name, EIN). -
File electronically via FinCEN.
Deadlines:-
Existing businesses: 01/01/2025
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New businesses (2024): Within 90 days of formation
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New businesses (2025 onward): Within 30 days of formation
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[ZenBusiness simplifies BOI filings—click here to get started.]
More About BOI Filing
Who Needs to File?
“Reporting companies” include most corporations and LLCs. Exemptions exist for banks, nonprofits, and publicly traded entities. Example: A family-run restaurant in Ukiah, CA, formed in 2022, must file BOI.
Who is a Beneficial Owner?
A beneficial owner is anyone who:
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Exercises substantial control (e.g., decision-making authority).
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Owns at least 25% of the company’s shares.
Example: If a Ukiah-based wine distributor has four equal partners, each owning 25%, all qualify as beneficial owners.
What Information is Needed?
Businesses need to provide information about:
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The company (e.g., name, EIN, address).
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Beneficial owners (e.g., full names, residential addresses, dates of birth, ID documents).
How and When to File?
BOI reports must be submitted online via FinCEN’s system. Deadlines vary:
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Existing companies (formed before 2024): File by 01/01/2025.
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New companies (2024): File within 90 days of formation.
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New companies (2025+): File within 30 days of formation.
Penalties for Non-Compliance
Failing to file or providing false information can result in fines up to $500/day or imprisonment. However, FinCEN allows a 90-day safe harbor to correct mistakes without penalties.
Get Help with ZenBusiness
ZenBusiness simplifies BOI reporting by ensuring accuracy and saving time. With their services, you’ll have peace of mind knowing your filing is done right. Learn more and file today.
More BOI Resources
Don't wait—get your BOI report filed before 01/01/2025 to avoid penalties!
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