Urgent: FinCEN Requires BOI Filing from Balch Springs, TX by 01/01/2025

The Corporate Transparency Act mandates U.S. companies to disclose their beneficial owners to combat financial crimes, requiring detailed owner information to be filed with FinCEN.

As of this date, 12/04/2024, Balch Springs, TX business owners have 27 calendar days (or 20 business days) left to file their Beneficial Ownership Information (BOI) report with FinCEN—don’t wait, or you could face fines of $500 per day!

1. Determine if Your Business Must File.

Most LLCs, corporations, and small businesses qualify as “reporting companies.” Exemptions apply to publicly traded companies and certain regulated entities.

2. Identify Your Beneficial Owners.

A beneficial owner is someone who either has substantial control over a company or owns at least 25% of it. For example, in Balch Springs, a co-owner of a hardware store who owns 40% of the business and is responsible for major purchasing decisions qualifies as a beneficial owner..

3. Gather the Required Information.

Prepare:

• Business name, address, and EIN.

• Beneficial owners’ names, addresses, DOBs, and ID details.

4. File Your BOI Report.

Deadlines:

• Existing businesses: File by 01/01/2025.

• New companies (2024): File within 90 days of formation.

• New companies (2025+): File within 30 days of formation.

You can get help with BOI reporting through ZenBusiness, providing businesses with accurate guidance to ensure compliance with FinCEN requirements.

Who Needs to File?

A ‘reporting company’ is any small business, corporation, or LLC that is registered with the state, unless exempt. Exemptions apply to publicly traded companies, banks, and charities. For example, a local restaurant in Balch Springs, TX would likely need to file a BOI report.

What Is a Beneficial Owner?

A beneficial owner is someone who:

1. Holds substantial control over the company, OR

2. Owns 25% or more of it.

For example, a managing partner of a small coffee shop in Balch Springs who makes strategic business decisions and owns 35% of the company qualifies as a beneficial owner.

What Information Is Needed?

You’ll need:

• Business name, address, EIN.

• Owners’ names, addresses, DOBs, and identification documents.

How and When to File:

BOI reports must be submitted electronically with FinCEN. Deadlines:

• Existing companies: File by 01/01/2025.

• 2024 startups: File within 90 days of formation.

• 2025+ startups: File within 30 days of formation.

ZenBusiness offers assistance with streamlined BOI filing services, ensuring small business owners meet FinCEN requirements without the stress of navigating complex regulations.

Penalties for Non-Compliance:

Failure to file can result in fines of $500 per day, up to $10,000, and potential criminal penalties. FinCEN offers a 90-day safe harbor for corrections without penalties.

Additional Resources:

• Who’s Exempt from the Corporate Transparency Act?

• A Guide to BOI Compliance

• Corporate Transparency Act Deadlines for 2025

• FinCEN FAQ

We want to hear from you!

We value your feedback! Please take a moment to complete our BOI survey by December 18, 2024, and remember, for every 25 responses, our Chamber will receive a $100 donation! Take the survey here! Thank you for your support!

*As of December 3, 2024, a Texas federal district court has issued a preliminary injunction for all states to block the CTA and its relevant regulations. However, filing your BOI will help you avoid fines if this injunction is overruled.