What is this? Beneficial Ownership Information Reporting

[scott2000]

Just saw a notice about this on a local forum.. kinda weird...
Wonder if the exempt businesses have their own version....

FinCEN launched the BOI E-Filing website for reporting beneficial ownership information (https://boiefiling.fincen.gov) on January 1, 2024.

• A reporting company created or registered to do business before January 1, 2024, will have until January 1, 2025, to file its initial BOI report.
• A reporting company created or registered in 2024 will have 90 calendar days to file after receiving actual or public notice that its creation or registration is effective.
• A reporting company created or registered on or after January 1, 2025, will have 30 calendar days to file after receiving actual or public notice that its creation or registration is effective.

https://www.fincen.gov/boi-faqs

 

[fazer]

I wonder if the Biden family business knows about this.

Seriously it says something about benefits derived from a shell company. So many loop holes and so little time.

There is a boatload of links on that page for q/a , frequent asked questions.

 

[JohnRoberts]

Yup the government plan to help small businesses ......... disappear.

[edit- I saw an article about this the other day and companies with 25 employees or more are exempt. If they want to cut down on abuse of shell companies just exempt businesses that only operate one company (like the vast majority of actual small businesses). /edit]

JR

 

[scott2000]

Interesting stuff... There are definitely a few rabbit holes to go through...

There are five exceptions to the definition of beneficial owner. When an individual who
would otherwise be a beneficial owner of a reporting company qualifies for an exception, the
reporting company does not have to report that individual as a beneficial owner in its BOI
report to FinCEN.

 

[Tubetec]

just sounds like more of the same corporate cocksucking thats got us to where we are now ,

 

[living sounds]

We have similar legislation in Europe. The idea is to prevent money laundering, tax evasion and breach of trade restrictions/embargos. The unfortunate byproduct is more bureaucracy, erosion of privacy/informational self-determination and a chilling effect on smaller businesses that lack the resources to deal with the added workload.

 

[sodderboy]

Basically it is the whole "a corporation is not a person" thang wrung through the legislative process. Yay! The IRS and State of incorporation are both requiring the entity principals of corporations and other entities to be disclosed on a form, and if actually persons in the flesh, attach valid ID. I have no idea what nested corps and LLC's do. It's just more corporate doc stuff to do for compliance as far as I am concerned.
Not small-business killing, but nested entities may come under closer scrutiny.
Mike

 

[JohnRoberts]

It is a good idea to shut down sham shell corporations but this is exactly the kind of extra regulatory paperwork that large companies can easily manage giving them yet another advantage over the small guys.

They already exempt companies with more than 25 workers, how about exempting companies with only one set of owners?

JR