FinCEN continues to update their BOI Reporting guidance on www.fincen.gov. FinCEN has stated that the BOI Reporting platform will be available on January 1, 2024. FinCEN continues to update their website with FAQs and answers as companies prepare to file their initial BOI Reports to FinCEN. Here are a few of the important FAQs that FinCEN provided this past month:
- Anyone whom the Reporting Company authorizes to act on its behalf may file a BOI report for the Reporting Company.
- A Reporting Company may not use a P.O. box as its current address.
- Reporting Companies are responsible for ensuring that an updated BOI report is filed with FinCEN within 30 days of a relevant change. Even if only one piece of information has changed (such as the company’s legal name), all fields on the BOI report must be resubmitted as part the update.
- Liability for willful CTA violations may extend to both individuals and corporate entities. Individuals may be liable if they caused the compliance failure. Examples include an individual who actually files false information, an individual who provides the filer with false information, or a beneficial owner or company applicant who refuses to provide required information or updates to a Reporting Company. FinCEN may also seek penalties against senior officers at the company at the time of the compliance failure.
- Reporting Companies are responsible for ensuring the accuracy of the information they report, even if the Reporting Company obtains that information from another party. FinCEN did not further elaborate what steps it expects Reporting Companies to take to verify third-party information.
- FinCEN recommends that existing Reporting Companies engage with their beneficial owners to advise them of BOI reporting requirements, obtain required information, and consider putting in place mechanisms to ensure that beneficial owners will keep Reporting Companies apprised of changes in reported information. We here at BOI Reporting LLC have those tools and mechanics in place to ensure you are being compliant as FinCEN requires.
We will continue to monitor these updates and keep them updated on our website.