As of January 1, 2024, many companies are required to report beneficial ownership information (BOI) to the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury. Data from this reporting will be made accessible to law enforcement and regulatory authorities to uncover misconduct, however, the data will not be made public. Companies required to report are called “reporting companies.”
Federal BOI Reporting Requirement
Your company may be required to file a report to FinCEN if it is:
- A corporation, a limited liability company (LLC), or was otherwise created in the United States by filing a document with a secretary of state or any similar office under the law of that state or Indian tribe; or
- A foreign company and was registered to do business in any U.S. state or Indian tribe by such a filing.
Not every company is required to report to FinCEN, there are 23 types of entities that are exempt from BOI reporting requirements (see here for exemptions). Reporting deadlines are as follows:
- Existing companies – January 1, 2025.
- If your company was created or registered on or after January 1, 2024, and before January 1, 2025, you must report BOI within 90 calendar days after receiving actual or public notice that your company’s creation or registration is effective, whichever is earlier.
- If your company was created or registered on or after January 1, 2025, you must file BOI within 30 calendar days after receiving actual or public notice that its creation or registration is effective.
- If, after filing the report, there are changes to the reported information, depending on the change (such as a change in ownership of the reporting company, change of addresses, etc..), you will need to update the information by filing an update to the report within 30 days of the change.
The above information as well as additional information regarding federal BOI reporting requirements may be accessed here:
New York State LLC Transparency Act
Governor Hochul signed the LLC Transparency Act which is in effect as of January 1, 2024. The LLC Transparency Act creates a database of the beneficial owners of limited liability companies. The database will be accessible to Federal, State, and local government law enforcement across New York State, but will not be made available publicly.
As of January 2, 2024, there is no additional information regarding how LLCs are to file their reporting to New York State.
Lacy Katzen LLP’s Corporate team is here to help. If you have any questions about these new regulations, please contact one of the following members of our corporate team: Ryan Hayes, Matthew Ryen, Craig Welch, or Jennifer Chadwick at 585.454.5650.