The BOI is back, again (until it wasn’t). This afternoon, the US Supreme Court ordered (link) that a lower court stay of the requirement be lifted. This initially made it possible that businesses must get their Beneficial Ownership Information (BOI) Reports on file. But FinCEN issued guidance on January 24 indicating that filing is still voluntary pending other litigation.
What Happens Next
FinCEN released an update on January 24 stating that it remains voluntary given a January decision in a different case. The on-and-off again life of the requirement (first discussed here) thus continues.
The next judicial action will be for the Fifth Circuit to rule on the merits. That is, decide whether Congress has authority to require all businesses to file ownership information with the federal government. Other courts have ruled that it does, but the Fifth Circuit is not bound by their decisions.
What Businesses Need To Do
Businesses that are created by filing something with a state secretary of state, such as corporations, LLCs, and limited partnerships, must file a BOI Report with FinCEN by the date it eventually provides. We discussed the requirements extensively in a prior post (link). In short, it is information on who materially own and/or manages the business.
If you have already filed your report, no further action is needed.
If you have any questions or need help filing the report, please reach out to Mid-Atlantic Law & Tax PLLC. We are happy to walk you through the requirement and submit it on your behalf.
