When it comes to business ownership and compliance, a Georgia-based company is supposed to go through several strict regulatory requirements that include following the BOI Reporting requirements with FinCEN.
Be it incorporating a new company or maintaining an ongoing company, a proper understanding of the requirements for BOI reporting has to be understood to avoid penalties and to maintain transparency.
What is a BOI Report?
BOI reporting is a mandatory filing to report necessary information about the ultimate beneficial owners of an entity. A ‘beneficial owner’ means anyone who, directly or indirectly, either through ownership or control, has at least 25% of the company or significantly influences its operations. FinCEN introduced BOI reporting into its Corporate Transparency Act to avoid money laundering and to maintain corporate transparency.
Because of this, BOI reporting for LLC filings is an essential part of compliance in Georgia business activities, especially for LLCs. To ensure proper reporting, make sure to include the following:
- Name of the beneficial owner
- Date of birth
- Residential or business address
- A valid identifying document, such as a passport or driver’s license number
Who Needs to File a BOI Report in Georgia?
Any corporation, LLC, and other similar entity so organized in or under the law of Georgia shall file the BOI report, with an exemption in specific cases. Generally, businesses that are strictly regulated by the federal government, such as banks and investment companies, may not be required to file them. However, for small and mid-sized businesses generally, such filings are required.
If you have any doubt about your business falling under the exemption category, it is better to consult with an attorney or compliance service so that your business avoids any legal complications.
Filing Process of BOI Reports for Georgia LLCs
Filing in Georgia for an LLC is a doable but detailed process. The major steps involved with the filing process are listed below:
- Gather the information you need – Bring together all information related to your beneficial owners to provide legal names, addresses, and identifying numbers.
- Prepare and submit your BOI Report – The report is to be submitted online via the FinCEN Reporting Portal. You will have to follow their instructions very carefully to get your report through.
- Keep your Information Current – Any changes in beneficial ownership need to be filed within a specified time, usually within 30 days of the time of change. Failure to do so may attract fines and penalties.
What Happens If You Don’t File?
Failure to file this BOI report has serious consequences. FinCEN enforces the BOI reporting requirements, and penalties for non-filers are fines starting from a few hundred dollars with the possibility of jail time for wilful violators.
In fact, to companies in Georgia, compliance with these reporting regulations means not only the avoidance of the imposition of penalties but also the sustaining of trust and transparency – both crucial ingredients of long-term business success.
In search of help in filing BOI Reports, Contact BOIFinCEN Reporting for hassle-free service.
Conclusion
Understanding and fulfilling reporting requirements from BOI is an indispensable part of the companies in Georgia, especially because LLCs are generally required to report under these regulations. Keeping informed and keeping on top of filings assures you that your company stays compliant with federal laws and avoids heavy penalties for compliance.