Filing your Beneficial Ownership Information Report (BOIR) might sound like one of those things you'd rather avoid—like a trip to the DMV or a root canal—but it's a necessity if you want to stay in compliance with U.S. law and avoid any unwanted attention (and hefty fees of up to $10,000 per business).
The BOIR is your way of telling the government that you didn't form your business just to launder money. However, if you are money laundering, this article might not be helpful.
I don't know what you should do since we talk about legal business practices here. You're always welcome here, but don't go expecting a scammer's guide to scamming. I truly don't know anything about that life.
And if you're not committing extremely illegal acts, this article was written just for you. Here’s what you need to know and, more importantly, how to get this filing done.
What Is the BOIR Anyway?
The BOIR is required under the Corporate Transparency Act (CTA). Passed to combat money laundering and terrorist financing (on January 1, 2021), the CTA requires companies to file information with the Financial Crimes Enforcement Network (FinCEN). In all honesty, this is all just a fancy way of saying the U.S. Department of Treasury wants to know who’s pulling the strings at your business (and if the person pulling the strings is committing illegal acts).
If you started or registered your company before January 1, 2024, your BOIR is due by January 1, 2025. But if you’re late to the party and formed your company on or after January 1, 2024, you’ve got a 90-day countdown from when your business was created to get your BOIR filed. And if you’re procrastinating even further and register your business on or after January 1, 2025, you'll have just 30 days.
Now, if you're ready to proceed, just keep reading the article and fill in the required info as you go. Even if you're not ready though, I suggest you read till the end just so you know what to do once you're ready. Now, without further ado, let's get started.
Step 1: Deciding How to File the BOIR (The "Fun" Part)
Filing your BOIR can be done in two ways:
- The Old-School Way: You can download a PDF, tinker with it offline in Adobe Reader, and fill it out at your own pace. This is a great option for those who are still figuring out what the BOIR even is.
- The Streamlined Way: File it completely online by answering some straightforward questions and filling in some blanks. In this article, we’re going to focus on this online method. Because who really wants to do this the long way?
You’ll start off by telling FinCEN what type of filing you're doing and why. This might feel like they’re asking you to swear on your business’s future, but it’s pretty straightforward.
And I'm like 70% sure you won't be signing away your first-born son. Just make sure you always read the fine print.
Choosing the Type of Filing
When filing your BOIR, one of the first things you’ll need to do is choose the type of report you're submitting. This step is extremely important, so here’s a simple breakdown of which box to check based on your situation:
- Initial Report (Box 1a):
Check this if it's your first time filing a BOIR for your company. Welcome to the club!
- Correct Prior Report (Box 1b):
Select this option if you need to fix incorrect information from a previous BOIR. Mistakes happen, no judgment.
- Update Prior Report (Box 1c):
Choose this if you’re updating information in a previous BOIR. For example, maybe you’ve added new beneficial owners or other updates.
- Newly Exempt Entity (Box 1d):
If your company is now exempt from BOIR requirements (lucky you), check this box. You’ll also need to fill out the reporting company info (boxes 1e–1h) based on your most recent BOIR, but you can skip the rest of the form.
If you check 1b, 1c, or 1d, make sure to provide your company’s:
- Legal Name (1e)
- Tax Identification Type (1f) (EIN, SSN/ITIN, or Foreign Tax ID)
- Tax Identification Number (1g)
- Country/Jurisdiction (1h) if using a foreign tax ID
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We got the codes above (e.g: 1a) from the "Need Help?" section of the report
Always make sure the information you provide matches your business's information—whether it's the initial one or a previous update. Simple enough, right?
Now that you've got this part figured out, you're all set to move on with the actual filing!
Step 2: Getting Your Company Information Together
You’ll need your business’s basic details. Expect questions about:
- Your business's legal name (or trade name if you're fancy like that).
- Your tax identification number (EIN, SSN/ITIN, or even a foreign tax ID if you're international).
This is where they want to know who they’re dealing with. If your business was formed before January 1, 2024, don’t get cute and claim you’re brand new just to avoid filling out extra details.
Step 3: Who’s Filing? Time for the Company Applicant(s)
Next up, you'll need to dish out some details about yourself or whoever's filing the report. This is referred to as “company applicant” information. This includes your:
- Legal name
- Date of birth
- Address
- Scans of ID documents (driver's license, passport, or another approved form of ID)
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| Choose this option only if your business was filed before the beginning of this year. |
If your company existed before January 1, 2024, congratulations! You might just get a hall pass from filling out some of this personal information. For the rest of you newer companies, get ready to provide this info because you’re not off the hook.
Step 4: Providing Information on the Beneficial Owners
Now we get into the nitty-gritty: the beneficial owners. Who are they? It’s basically the folks who own or control the company. You’ll need to fill out information similar to what you gave for the company applicants: names, addresses, birth dates, and—you guessed it—scans of those all-important IDs.
And let’s be real, if someone is pulling the strings behind the curtain, this is where the government wants to know who they are.
Step 5: FinCEN ID – To Get One or Not to Get One?
During the filing process, you can request a FinCEN ID. Sounds fancy, right? It's optional, but if you’re planning on filing other reports in the future, it can make things easier (think of it like a VIP pass for future filings). Whether you get one or not, it won’t affect the outcome of your BOIR, but it’s something to think about if you’re a fan of streamlining future government paperwork.
Step 6: Don’t Forget the Proof!
You're almost there. One final step: you’ll need to upload proof of identity for whoever is listed in the report. That means scans of whatever ID you provided earlier—driver's license, passport, or whatever form of government-issued ID you decided on. And no, you can't just scribble it on a napkin. Make sure it’s legit.
Step 7: Check If You Even Need to File
Before you get lost in this sea of paperwork, pause for a second and make sure your business actually needs to file a BOIR report. If you’re unsure, head over to the FinCEN website to see the requirements for filing. No need to waste your time if this isn’t your circus.
Final Thoughts: Stay Compliant, Avoid the Drama
Filing your BOIR isn’t the most exciting thing you’ll do as a business owner, but it’s essential to stay on the right side of the law. Follow these steps, and you’ll have your BOIR reporting handled in no time. If you’re feeling brave, go for the online filing now and save yourself some paperwork.
Whether you’re an established company or just getting started, staying in compliance with BOIR filing is a must to keep your business running smoothly (and to avoid giving the government a reason to come knocking). So, go on—file that BOIR report and keep Uncle Sam happy!
And remember: If you miss the deadline, it’s not just a slap on the wrist. You don’t want to find out the hard way what happens when you don’t file your BOIR form on time! Your wallet certainly doesn't want those problems either.
Oh, and never forget that even though everybody may not like me, they have no choice but to love me because I will always be there for them and accept them for who they are. Happy filing!