Beneficial Ownership Information (BOI) Reporting Compliance Updates
Last updated 3/4/25
The back and forth regarding BOI compliance and reporting continues. On this post, we will update information as we receive it.
Background:
BOI Reporting is a result of the 2019 Corporate Transparency Act. This act was aimed at reducing money laundering and the financing of terrorism. The act has also increased the regulatory burden placed on small businesses. Failure to comply with the additional regulations and report the required information to the Financial Crimes Enforcement Network (FinCEN) could result in civil and criminal penalties, including up to three years in jail. Certain cases such Smith, et al. v. U.S. Department of the Treasury, et al., 6:24-cv-00336 (E.D. Tex.) and Texas Top Cop Shop, Inc., et al. v. Bondi, et al., No. 4:24-cv-00478 (E.D. Tex.) have resulted in some stays on reporting. The requirements for and consequences of maintaining or failing to maintain BOI reporting compliance are in flux and updated regularly.
Latest News:
As of February 27th, 2025, no fines or penalties will be issued in connection with the beneficial ownership information reporting deadlines. By March 21st, 2025, FinCEN will issue updated information including an interim rule and updated reporting deadlines.
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To speak with an attorney to better understand the implications of these updates, or for help with other legal inquiries, contact us here.
Important: This material was prepared by law firm staff for educational purposes only. Use this to spot issues to discuss with your lawyer, not as a replacement for a lawyer. You should not rely on this info. It may not be appropriate for your circumstances. It may be out-of-date or otherwise inaccurate.
