BOI for LLC: Filing Your LLC BOI Report (2024 Guide with Screenshots)

This guide explains the BOI report for LLCs, a critical filing required by FinCEN. It is essential for combating financial crimes. Here, you’ll navigate the intricacies of the BOI report, its importance, who needs to file, and key deadlines.

Whether you’re a new LLC owner or unsure about your filing obligations, this article has you covered. In this article, you will learn about the most important information you need to know about BOI. If you already know what it is and just want to know how to file it, skip to the How to File Part. Otherwise, stick around to understand what it is, why it is required, do you need to file it, and the consequences of non-compliance.

What is a BOI Report and Why It Matters for LLCs

The BOI (Beneficial Ownership Information) Report is a FinCEN requirement. It identifies those who own or control LLCs. This transparency aims to prevent money laundering and financial fraud.

FinCEN, the Financial Crimes Enforcement Network, targets financial crimes. The BOI report helps trace funds and uncover illicit activities. By knowing an LLC’s owners, FinCEN can better enforce laws.

For LLCs, filing a BOI report is crucial. It’s not just about compliance but ensuring the financial system’s integrity. This requirement reflects a global trend towards more transparent business practices.

Who Needs to File a Beneficial Ownership Information Report and Who is Exempt

Most businesses operating in the United States, including LLCs, are required to file a BOI Report. This broad mandate ensures that FinCEN has a comprehensive view of the beneficial ownership structure of a vast array of businesses, aiming to enhance transparency and deter financial crimes.

However, there are exemptions to this rule. Specifically, large corporations, financial institutions such as banks and credit unions, and companies with IRS tax-exempt status, like 501(c) organizations, are not required to file. For a detailed list of all 23 exemptions, please refer to the official list on FinCEN’s website.

Key Deadlines for Submitting Your LLC BOI Report

• For businesses registered before January 1, 2024: Deadline is January 1, 2025.
• For businesses registered on or after January 1, 2024: File within 90 days of registration.
• For businesses opening on or after January 1, 2025: The report must be filed within 30 days of registration.

File a BOI Report (Guide with Screenshots)

FinCEN offers three ways to file the Beneficial Ownership Information Report:

File PDF BOIR:

• This method allows you to download the PDF form, complete it at your convenience, and then submit it online.
• To use this method:
  • Download the PDF from the Fincen Website
  • Submit the completed form on the Submit the PDF BOIR page

File Online BOIR: (Recommended)

• The simplest approach is to fill out the form directly on the FinCEN website (https://boiefiling.fincen.gov/boir/html). This method will be the focus of our step-by-step guide.

System-to-System API: This method is primarily for businesses with sophisticated technological infrastructure and allows for automated BOIR filing.

How to File the BOIR Online (Guide with Screenshots)

Part 1: Filing Information

1a. Initial report: Select this if it’s your first time filing a BOIR. Click “Next” and jump to the next step.

1b. Correct prior report: Use this option if you need to fix inaccuracies in a BOIR you previously submitted.

1c. Update prior report: Use this option to change or add information in an existing BOIR (e.g., adding a new beneficial owner, updating an address).

1d. Newly exempt entity: Select this only if your company used to be required to file BOIR, but has now become exempt due to changes in its status.

Important: If options ‘1b’ or ‘1c’ are selected, you’ll be asked to provide the following additional information:

e. Legal Name

f. Tax Identification type

g. Tax Identification number

h. Country/Jurisdiction (if using a foreign tax ID)

Part 2: Reporting Company Information

Request to receive FinCEN ID:

• Important: We recommend you to check this box. Requesting a FinCEN ID for your company creates a unique identifier that streamlines future filings and eliminates the need to re-enter your company’s information each time you submit a report.

Foreign pooled investment vehicle:

• Note: This checkbox is specifically for foreign-based investment funds that pool money from multiple investors. If your company falls into this category, select this option to simplify the reporting process. If not, leave the box unchecked.

Reporting Company Legal Name: Enter your company’s full legal name exactly as it appears on official registration documents with your state or the federal government.

Alternate Name: List any additional names your company operates under (e.g., trade names, DBA – “Doing Business As”). If you don’t use any other names, leave this field blank.

Form of Identification

Tax identification type: Select your company’s primary tax identification type from the following options:

• EIN (Employer Identification Number): The most common option for US-based companies.
• SSN/ITIN (Social Security Number/Individual Taxpayer Identification Number): Select this only if your business is registered under your personal SSN or ITIN.
• Foreign Tax ID: Use this option if your company is registered outside the United States.

Tax Identification Number: Enter the number corresponding to your chosen tax identification type.

Country/Jurisdiction (if foreign tax ID only): This option is greyed out and will only become available if you choose a Foreign Tax ID, and won’t apply to most of you.

Jurisdiction of Formation or First Registration

For most companies, this will be “United States of America”. Selecting this option will reveal additional fields for specifying the following:

• State of Formation

• Tribal jurisdiction of formation (if applicable)

Current US Address: Provide the official address of your company on file with the state in which it’s registered. This must be a physical US street address. Include:

• Address Line 1 (number, street, and apt. or suite no.)
• City
• State
• ZIP Code

Part 3: Company Applicant(s)

Existing reporting company checkbox

Important: Check this box ONLY if your company was formed (and existed) before January 1, 2024. Checking this box allows you to skip the next section about company applicants, as this information isn’t required for older businesses.

If your company was formed on or after January 1, 2024, DO NOT check this box. Proceed to fill out the Company Applicant(s) section.

Company Applicant(s) Information

Note: This section is ONLY for companies formed on or after January 1, 2024. If your company was formed before this date, you can skip this section.

Understanding Company Applicants: There are two types of applicants FinCEN is interested in:

• Direct Filer: The individual who physically carried out the company registration process with the state. (This could be yourself, a lawyer, or an online formation service)
• Control Applicant: The person who owns the company or instructed someone else to register the company on their behalf.

Information Required: For each company applicant (both Direct Filer and Control Applicant if they’re different individuals), provide the following:

• FinCEN ID: If the applicant has filed a BOIR before and has a FinCEN ID, enter it here.
• Full Legal Name (First, Middle, Last)
• Date of Birth
• Residential Address: (Use a foreign address if residing outside the US)
• Identification Document: Select a valid government-issued ID type (e.g., Driver’s License, Passport) and enter the ID number.
• Upload Image of ID: Provide a clear photo or scan of the selected identification document.

Part 4: Beneficial Owner(s)

A beneficial owner is someone who meets one or both of the following criteria:

• Owns 25% or more of the company’s shares.
• Exercises significant control over the company, even if they don’t own a large percentage of shares. (This could include senior executives or someone who controls voting rights.)

Information Required for Each Beneficial Owner

• FinCEN ID: Enter the beneficial owner’s FinCEN ID if they have one. This expedites the filing process.
• Full Legal Name (First, Middle, Last)
• Date of Birth
• Residential Address: Provide the beneficial owner’s current residential address. If the owner lives outside the US, enter their foreign address.
• Identification Document: Select the type of government-issued ID the beneficial owner will use for verification (e.g., Driver’s License, Passport). Then, enter the ID number and upload a clear image of the selected ID document.

Important Note: If a beneficial owner is under 18 years old, provide the legal guardian or parent’s information instead.

Part 5: Submission

Contact Information

• Enter your email address in the “Email” field.
• Re-type the same email address in the “Confirm Email” field for accuracy.
• Fill in your first name in the “First Name” field.
• Enter your last name in the “Last Name” field.

Certification

• Check the box to confirm that you are authorized to submit the BOIR on behalf of your company and that all the information provided is true, accurate, and complete.

Compliance Reminder: Carefully review the compliance reminder which highlights the importance of providing accurate information. The reminder also outlines potential consequences for failing to comply or filing false information.

Verification Check:

• To confirm you are not a robot, tick the “I am human” box and complete any CAPTCHA challenge that may appear.

Submit the Report:

• Click the “Next” button to send your report to FinCEN. After submission, you’ll see a processing page followed by a confirmation screen with details about your report. You’ll also have the option to download a transcript of your report for your records.

Confirmation

• Look for the “FILING SUCCESSFUL” message on the confirmation screen. This signifies that your BOIR has been submitted to FinCEN.
• Important Information on the Confirmation Screen
  • BOIR ID: This is a unique identifier for this specific report.
  • Submission Tracking ID: Use this to track the status of your report or for follow-up communications with FinCEN.
  • Received Timestamp (UTC): The exact date and time (in Coordinated Universal Time) when FinCEN received your report.
  • Reporting Company FinCEN ID: This is your company’s unique FinCEN ID. Save this ID for future filings, as it will streamline the process and automatically populate your company’s information.
  • Submitter Information: Your name and email address provided in the submission.
• Reminder: Download and save the transcript of your report. This contains a complete record of the information you submitted and serves as evidence of compliance.

Updates and Corrections

If you realize you made a mistake on your BOIR or need to update information (e.g., change of address, ownership changes), you have a 30-day window after the initial submission to correct or update your report. Do this as soon as possible to ensure your information remains accurate with FinCEN.

What Happens If You Don’t File Your BOI Report

Failing to file your BOI Report can lead to severe consequences. Businesses may face civil penalties of up to $500 per day for non-compliance and criminal penalties, including up to 2 years in prison and fines up to $10,000. It’s crucial to meet filing deadlines to avoid these penalties.

If you need to file your BOIR, following the guide above makes the process straightforward.

However, if you prefer professional assistance, services like Northwest Registered Agent can handle the filing for a reasonable fee.

Keeping compliant is key to your business’s growth and legal standing.

If you have any questions, feel free to ask in the comments section.