Financial Empowerment Conference

And you will feel secure, because there is hope; you will look around and take your rest in security.   - Job 11:18

SUMMARY OF BUSINESS REQUIREMENT TO REPORT BENEFICIAL OWNERSHIP

What Is the Requirement?
Beginning in 2024, most companies, including small businesses, must complete a filing of Beneficial
Ownership Information (BOI) indicating ownership of the entity with the Financial Criminal
Enforcement Network (FinCEN) to comply with the Corporate Transparency Act (CTA). This filing
requirement does not apply to Sole Proprietors and General Partnerships, but it does apply to most other
entities, including Limited Liability Companies (LLCs), Limited Liability Partnerships (LLPs), Limited
Liability Limited Partnerships (LLLPs), Non-501c(3) Non-Profit Organizations, and Corporations,
unless the business type is otherwise exempt. There are 23 business types that are exempt from the
filing (see the list on page 4 of the Small Entity Compliance Guide at this link
https://www.fincen.gov/boi/small-entity-compliance-guide ), but if a business is not exempt, there are
two important deadlines for completion.

• If the business operated before January 1, 2024, the filing must be completed by December 31, 2024
• If the business began after January 1, 2024 but before January 1, 2025, they have 90 calendar days to
complete the filing
• For businesses created after January 1, 2025, they have 30 calendar days to complete the filing

Updating Requirements and Penalties
Once the initial filing is completed, if the beneficial owner has a change to their legal name, address, an
ID document, or ownership percentage, they are required to update the report within 30 days. If there is
a change to the company’s name, address, or legal structure, an update is also required. If the original
filing or corrected information is not completed in the required time, the penalty is a civil fine of up to
$500/day, a criminal fine of up to $10,000 and/or imprisonment for up to two years, and a disclosure
violation fine of up to $250,000 and/or imprisonment for up to five years. The filing can be completed
online or by mail. Visit https://fincen.gov/boi for more information and to choose your method of filing.

Additional Online Resources
FinCEN Beneficial Ownership Information Page - https://fincen.gov/boi
YouTube Video on Completion of the Filing - https://www.youtube.com/watch?v=GydCvfbKxPw
Small Entity Compliance Guide - https://www.fincen.gov/boi/small-entity-compliance-guide
Sign-up Page for Email Updates - https://service.govdelivery.com/accounts/USFINCEN/subscriber/new
BOI FAQs - https://fincen.gov/boi-faqs#B_2

Note from the Georgia Secretary of State
Several weeks ago, the Georgia Secretary of State’s office sent out an email to business owners
outlining what the CTA is for and letting business owners know that their office is not collecting this
information and that they cannot provide any information, advice, or legal counsel related to the BOI
reporting requirements. They directed business owners if needed to contact FinCEN directly at 800-
767-2825 or https://fincen.gov/contact .
Information in this summary has been compiled from various online sources. Neither the Financial Empowerment Conference Series nor
Turner Chapel AME Church makes any guarantees of accuracy. We encourage you to seek your own professional guidance.

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