BOI Reporting Requirements: What Every LLC Owner Must Know

The Corporate Transparency Act (CTA), effective January 1, 2024, requires most U.S. LLCs and corporations to file a Beneficial Ownership Information (BOI) report with the Financial Crimes Enforcement Network (FinCEN). This is a federal compliance requirement — not a state one — and non-compliance carries substantial daily civil penalties.

What Is a BOI Report?

A BOI report discloses the identity of the beneficial owners of a U.S. business entity — the real human beings who ultimately own or control it. The goal is to prevent the use of shell companies for money laundering, tax evasion, and other financial crimes.

Who Must File?

Most LLCs and corporations formed in the U.S. must file, with some exceptions:

Must file: Domestic LLCs, corporations, and similar entities created by filing with a state secretary of state
Exempt: Large operating companies (500+ employees, $5M+ revenue, U.S. presence), banks, SEC-registered companies, nonprofits, and about 20 other specific categories
Most small businesses and single-member LLCs are required to file

Filing Deadlines

Companies formed before Jan 1, 2024: Had until Jan 1, 2025 to file their initial report
Companies formed in 2024: Must file within 90 days of formation
Companies formed after Jan 1, 2025: Must file within 30 days of formation
Updates required: Any change to beneficial owner information must be reported within 30 days

What Information Is Required?

For each beneficial owner (anyone with 25%+ ownership or substantial control):

Full legal name
Date of birth
Current residential address
Government-issued ID number (passport or driver's license) and an image of that ID

Penalties for Non-Filing

Civil penalties of $591 per day for each day the violation continues. Criminal penalties of up to $10,000 and up to 2 years imprisonment for willful violations.

How to File

BOI reports are filed through FinCEN's online system at fincen.gov/boi. There is no filing fee. SK Financial files BOI reports for $75 all-inclusive — we prepare the report, collect the required information, and submit it to FinCEN with confirmation provided to you.