BOI compliance follow-up services

BOI

compliance follow-up services. Opening: As of March 26, 2025, FinCEN issued an interim final rule that exempts most U.S.-formed companies from Beneficial Ownership Information (BOI) reporting requirements under the Corporate Transparency Act.

However, foreign entities registering to do business in the U.S. still need to file, and all businesses should remain vigilant for potential future regulatory changes. Our BOI compliance follow-up services ensure your business stays compliant and prepared. 1.

What is BOI and why it matters now: The Corporate Transparency Act (CTA) aims to combat illicit financial activities by requiring certain companies to report information about their beneficial owners to the Financial Crimes Enforcement Network (FinCEN).

This information is stored in a secure, non-public database. While the initial reporting rule became effective on January 1, 2024, recent changes have significantly altered its scope. 2.

The current status (March 26, 2025 IFR): who must file today: On March 26, 2025, FinCEN issued an interim final rule (IFR) that revised the definition of a "reporting company." This IFR removes U.S. domestic companies and U.S. persons from the BOI reporting requirement.

Consequently, all entities created in the United States, including those previously known as "domestic reporting companies," are now exempt. The revised definition limits "reporting company" to entities formed under the law of a foreign country that have registered to do business in any U.S.

State or Tribal jurisdiction. For these in-scope foreign entities, new filing deadlines apply: Entities registered before March 26, 2025, must file by April 25, 2025.

Entities registered on or after March 26, 2025, have 30 calendar days to file an initial BOI report after receiving notice of effective registration. 3. What information BOI reports collect (data elements): For those companies still required to report, FinCEN collects information about the company itself, its beneficial owners, and company applicants.

Key identifying details for beneficial owners include: Full legal name; Date of birth; Current residential address; A unique identifying number from an acceptable document (e.g., passport, driver's license, or other national ID); An image of that identifying document; Details of ownership/control. 4.

Deadlines: initial filing, 30-day update rule, 90-day safe harbor, penalties: Updated BOI reports: Any change to the required information must be reported no later than 30 days after the change occurs.

Corrected reports: If an initial report is inaccurate, it must be corrected no later than 30 days after the reporting company becomes aware of the inaccuracy. 90-day safe harbor: A safe harbor from penalty exists if a person voluntarily corrects a mistake or omission within 90 days of the original report's deadline.

Penalties: Willful failure to report complete or updated BOI, or providing false information, can lead to civil penalties of up to $500 per day and criminal penalties, including imprisonment and fines up to $10,000. 5.

Why follow-up services matter even for exempt domestic companies: While most U.S.-formed businesses are currently exempt, the regulatory environment is dynamic. FinCEN has indicated it will solicit comments and may finalize rules later in 2025, meaning the scope could change again.

Monitoring remains essential. For service providers, this means: Screening clients to confirm their current exemption status.

Maintaining watch lists and alerts for regulatory changes. Providing remediation and filing services if an entity is foreign-formed/foreign-owned and within scope.

Understanding state-specific notice practices, as these can affect filing deadlines. 6. Our service offerings: We offer comprehensive BOI compliance follow-up services, including: Initial BOI screening and scope assessment: Determine if your company is a reporting company under the IFR.

BOI data collection & verification: Secure intake forms, document collection (IDs), ID verification, and secure document storage. Filing/remediation: Prepare and submit initial reports for foreign reporting companies, or corrected/updated reports within 30-day windows.

Ongoing monitoring & update service: Subscription model to track corporate events and file updates promptly. Audit & remediation engagement: Retrospective audits of prior filings and coordinated corrected report filings, utilizing the 90-day safe harbor where applicable.

Compliance SOPs & training: Tailored client playbooks, internal SOPs, staff training, and recordkeeping templates.

Title: BOI compliance follow-up services. Opening: As of March 26, 2025, FinCEN issued an interim final rule that exempts most U.S.-formed companies from Beneficial Ownership Information (BOI) reporting requirements under the Corporate Transparency Act.

However, foreign entities registering to do business in the U.S. still need to file, and all businesses should remain vigilant for potential future regulatory changes. Our BOI compliance follow-up services ensure your business stays compliant and prepared. 1.

What is BOI and why it matters now: The Corporate Transparency Act (CTA) aims to combat illicit financial activities by requiring certain companies to report information about their beneficial owners to the Financial Crimes Enforcement Network (FinCEN).

This information is stored in a secure, non-public database. While the initial reporting rule became effective on January 1, 2024, recent changes have significantly altered its scope. 2.

The current status (March 26, 2025 IFR): who must file today: On March 26, 2025, FinCEN issued an interim final rule (IFR) that revised the definition of a "reporting company." This IFR removes U.S. domestic companies and U.S. persons from the BOI reporting requirement.

Consequently, all entities created in the United States, including those previously known as "domestic reporting companies," are now exempt. The revised definition limits "reporting company" to entities formed under the law of a foreign country that have registered to do business in any U.S.

State or Tribal jurisdiction. For these in-scope foreign entities, new filing deadlines apply: Entities registered before March 26, 2025, must file by April 25, 2025.

Entities registered on or after March 26, 2025, have 30 calendar days to file an initial BOI report after receiving notice of effective registration. 3. What information BOI reports collect (data elements): For those companies still required to report, FinCEN collects information about the company itself, its beneficial owners, and company applicants.

Key identifying details for beneficial owners include: Full legal name; Date of birth; Current residential address; A unique identifying number from an acceptable document (e.g., passport, driver's license, or other national ID); An image of that identifying document; Details of ownership/control. 4.

Deadlines: initial filing, 30-day update rule, 90-day safe harbor, penalties: Updated BOI reports: Any change to the required information must be reported no later than 30 days after the change occurs.

Corrected reports: If an initial report is inaccurate, it must be corrected no later than 30 days after the reporting company becomes aware of the inaccuracy. 90-day safe harbor: A safe harbor from penalty exists if a person voluntarily corrects a mistake or omission within 90 days of the original report's deadline.

Penalties: Willful failure to report complete or updated BOI, or providing false information, can lead to civil penalties of up to $500 per day and criminal penalties, including imprisonment and fines up to $10,000. 5.

Why follow-up services matter even for exempt domestic companies: While most U.S.-formed businesses are currently exempt, the regulatory environment is dynamic. FinCEN has indicated it will solicit comments and may finalize rules later in 2025, meaning the scope could change again.

Monitoring remains essential. For service providers, this means: Screening clients to confirm their current exemption status.

Maintaining watch lists and alerts for regulatory changes. Providing remediation and filing services if an entity is foreign-formed/foreign-owned and within scope.

Understanding state-specific notice practices, as these can affect filing deadlines. 6. Our service offerings: We offer comprehensive BOI compliance follow-up services, including: Initial BOI screening and scope assessment: Determine if your company is a reporting company under the IFR.

BOI data collection & verification: Secure intake forms, document collection (IDs), ID verification, and secure document storage. Filing/remediation: Prepare and submit initial reports for foreign reporting companies, or corrected/updated reports within 30-day windows.

Ongoing monitoring & update service: Subscription model to track corporate events and file updates promptly. Audit & remediation engagement: Retrospective audits of prior filings and coordinated corrected report filings, utilizing the 90-day safe harbor where applicable.

Compliance SOPs & training: Tailored client playbooks, internal SOPs, staff training, and recordkeeping templates.

Timeline, pricing, and call to action

Our operational workflow ensures efficient compliance:

Intake & scope screening

Quickly determine domestic vs. foreign formation and exemptions.

Signed engagement & authorization

Secure necessary documentation.

Data collection

Via secure portal with verification.

Prepare draft BOI report

Client review and certification.

Submission

Via e-Filing or API, with filing transcript/confirmation storage.

Monitoring

For trigger events and timely updates.

Audit & reconciliation

Annual or event-driven, with corrective filings as needed. We offer flexible pricing models, including one-time filing fees, subscription services for ongoing monitoring, and premium audit/remediation packages. Contact us today for a free consultation to assess your BOI compliance needs and ensure your business is protected.