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What Do the CTA, BOI and FinCEN Mean to Glastonbury, CT Business Owners?
The Corporate Transparency Act may require certain U.S. companies to disclose beneficial ownership information to FinCEN to combat financial crimes.
While a Texas federal district court’s preliminary injunction puts this requirement on hold, many experts expect that to be overturned. In that event, failure to file could lead to fines of $500 per day, up to a maximum of $10,000, and possible criminal penalties.
However, filing your Beneficial Ownership Information (BOI) report will help you avoid fines if this injunction is overruled. Waiting could mean scrambling to meet compliance requirements or penalties. Business owners can proactively file with quick and accurate assistance from ZenBusiness.
1. Determine if Your Business Must 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 coffee shop in Glastonbury, CT would likely need to file a BOI report.
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. This includes individuals who can make important decisions or own significant portions of the business. For instance, in a pottery studio in Glastonbury, if one of the partners owns 40% of the studio and actively manages the studio’s day-to-day operations and financial decisions, they would be considered a beneficial owner.
3. Gather the Required Information.
Prepare:
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Business name, address, and EIN.
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Beneficial owners’ names, addresses, DOBs, and ID details.
4. File Your BOI Report.
Deadlines:
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Existing businesses: File by 01/01/2025.
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New companies (2024): File within 90 days of formation.
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New companies (2025+): File within 30 days of formation.
ZenBusiness offers a streamlined approach to BOI reporting, providing businesses with efficient guidance to ensure compliance with FinCEN regulations.
Additional Resources:
We want to hear from you!
Join us in making an impact! Fill out our BOI survey by December 18, 2024, and for every 25 responses, our Chamber will receive a $100 donation. Take the survey now! Your input is invaluable!
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