Beneficial Ownership Information (BOI) reporting due soon for entities

POTOSI, MO – In 2020, Congress passed the Corporate Transparency Act (CTA) which requires non-exempt companies to report information about their companies and their beneficial owners to the Financial Crimes Enforcement Network (FinCEN) starting in 2024. In 2024, millions of small businesses, including LLCs, corporations and limited partnerships are required to file beneficial ownership information (BOI) reports.

Entities created before 2024 have until January 1, 2025, to field their first BOI report. Entities created in 2024 and later will have 90 days from creation to file their first reports. Once a report is filed, if the reporting company has beneficial ownership changes, it must file a new report within 30 days.

“Many small farms and businesses are set up as an entity that requires a BOI to be filed. Entities required to file a BOI were created by filing a document with the secretary of state or any similar office under the law of a state or Indian Tribe. Generally, LLCs, SMLLC, Limited Partnerships, S Corporations, C Corporations must file. A sole proprietorship might have to file if it’s a corporation or LLC. General Partnerships do not have to file. Trusts usually won’t submit a BOI, unless they filed with Secretary of State, but the trustees or beneficiaries might have to file if they are beneficial owners of other reporting entities.” said Rachel Hopkins, Ag Business Field Specialist.

The information in this news release came from articles published by Kristine Tidgren, attorney at Iowa State University, Center for Ag Law and Taxation.

To view the full article, visit https://www.calt.iastate.edu/article/beneficial-ownership-information-reporting-update .

For filing information, FAQs and help videos visit https://www.fincen.gov/boi .

For guidance on if you need to file a report for your business, contact a professional such as an attorney or tax preparer.