BOIR E‑Filing System: Q&A Guide to Corporate Transparency Act (CTA) Reporting and FinCEN Deadlines

If you're a business owner in the U.S., you've probably heard about the Corporate Transparency Act and the new reporting requirements. The acronyms alone: BOIR, CTA, FinCEN: can feel overwhelming. But here's the good news: compliance doesn't have to be complicated. Let's break down everything you need to know about the BOIR E-Filing System in a straightforward Q&A format.

What is the BOIR E-Filing System?

The BOIR E-Filing System is an electronic platform that simplifies the process of submitting Beneficial Ownership Information Reports (BOIR) to the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury. Think of it as a secure online portal where businesses can electronically file information about who owns and controls their company.

This system was designed to make compliance with the Corporate Transparency Act as streamlined as possible. Instead of dealing with paper forms and snail mail, you can complete your filing entirely online from your computer or mobile device.

What is the Corporate Transparency Act (CTA)?

The Corporate Transparency Act is a federal law that requires certain U.S. and foreign entities to report information about their beneficial owners: the real people who own or control the business. The goal? To prevent criminals from hiding behind anonymous shell companies for money laundering, fraud, and other illegal activities.

Enacted in 2021 and taking effect in 2024, the CTA represents a significant shift toward greater transparency in business ownership. It's part of a broader effort to align the U.S. with international standards for combating financial crimes.

Who Needs to File a BOIR?

Most U.S. corporations, limited liability companies (LLCs), and similar entities created by filing with a state or Tribal secretary of state must file a BOIR. Additionally, many foreign entities registered to do business in the United States may be reporting companies unless they qualify for an exemption.

You likely need to file if your business is:

• A corporation or LLC formed in the U.S.

• A foreign company registered to operate in a U.S. state or Tribal jurisdiction

You may be exempt if your business:

• Is publicly traded on a major stock exchange

• Employs more than 20 full-time employees in the U.S.

• Has more than $5 million in annual gross receipts or sales

• Meets specific criteria as a regulated entity (banks, credit unions, insurance companies, etc.)

There are 23 exemptions total under the CTA. If you're unsure whether your business qualifies for an exemption, it's worth consulting with a professional.

What Information Do I Need to Report?

The BOIR requires three main categories of information:

Company Information:

• Full legal name and any d/b/a (doing business as) names

• Current U.S. street address of your principal place of business (P.O. boxes aren't accepted)

• State or jurisdiction where your business was formed

• Taxpayer Identification Number (TIN) or Employer Identification Number (EIN)

Beneficial Owner Information:

• Full legal name

• Date of birth

• Complete residential street address

• A unique identifying number from an acceptable ID document (driver's license, passport, etc.)

• An image of the ID document used

A beneficial owner is generally someone who owns 25% or more of the company or exercises substantial control over it. This includes owners, officers, and anyone with significant decision-making authority.

Company Applicant Information (for entities formed in 2024 or later):

• The individual(s) who filed the formation documents

• Similar identifying information as required for beneficial owners

What Were the Filing Deadlines?

Filing deadlines depend on when your business was formed or registered:

• Companies formed before January 1, 2024: The deadline was March 21, 2025

• Companies formed during 2024: 90 calendar days from the date of formation or registration

• Companies formed on or after January 1, 2025: 30 calendar days from the date of formation or registration

If your business missed the March 21, 2025 deadline, you should file immediately to minimize potential penalties. The 30-day and 90-day deadlines continue to apply for newly formed entities.

What Happens If I Don't File or Miss the Deadline?

Non-compliance with BOIR filing requirements carries serious consequences. Willfully failing to file, or providing false or fraudulent information, can result in:

• Civil penalties of up to $591 per day for each day the violation continues, with a maximum of $10,000

• Criminal penalties including fines up to $10,000

• Imprisonment for up to two years

These aren't just empty threats: FinCEN has enforcement authority and the penalties are designed to ensure compliance. If you've missed a deadline, the best course of action is to file as soon as possible.

How Do I Actually File a BOIR?

Filing through the BOIR E-Filing System involves five straightforward steps:

1. Choose your filing type:

• Initial report (first-time filing)

• Updated report (changes to previously filed information)

• Corrected report (fixing errors in a previous filing)

• Newly exempt entity notification (if you now qualify for an exemption)

2. Enter company information: Fill in your business's legal name, address, formation jurisdiction, and tax ID.

3. Provide company applicant information (if applicable): For entities formed in 2024 or later, include details about who filed the formation documents.

4. Report beneficial owner information: List each beneficial owner with their personal details and identifying documentation.

5. Review and submit: Double-check everything for accuracy before submitting your report to FinCEN.

You can access the filing system directly at FinCEN's official website. The entire process is designed to be completed in one session, though you can save your progress and return later if needed.

What If My Ownership Information Changes After I File?

Your BOIR isn't a "file it and forget it" document. You must update your report within 30 calendar days of any change to your company information or beneficial ownership details. This includes:

• Changes in beneficial owners (someone new acquires ownership or control)

• Changes in beneficial owner information (address, legal name, etc.)

• Changes in company information (business address, legal name, etc.)

Staying on top of these updates is crucial for maintaining compliance and avoiding penalties.

Can Sofytax Help Me File My BOIR?

Absolutely. While you can file your BOIR yourself, many business owners prefer working with a professional service to ensure accuracy and compliance. At Sofytax, we understand that your time is valuable and the stakes are high when it comes to federal reporting requirements.

We can help you:

• Determine if your business needs to file

• Gather and organize the required information

• Submit your BOIR electronically through FinCEN's system

• File updates when your ownership structure changes

• Stay compliant with ongoing reporting obligations

And the best part? You can handle everything from the comfort of your home or office. ¡Hablamos Español! We're here to make the process as smooth and stress-free as possible.

Ready to Get Your BOIR Filed?

Don't let compliance deadlines keep you up at night. Whether you're filing for the first time, need to submit an update, or just want peace of mind that everything is handled correctly, Sofytax is here to help.

Schedule your online appointment today at sofytax.com and let our team take care of your BOIR filing. We'll handle the details so you can focus on running your business.

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Important Compliance Disclaimer

This blog post provides general information about the BOIR E-Filing System and Corporate Transparency Act requirements. It is not legal advice and should not be relied upon as a substitute for consultation with a qualified legal or tax professional. Filing requirements, exemptions, and deadlines may vary based on your specific business circumstances. Always confirm current requirements with FinCEN or official government guidance, and consult with appropriate professionals to determine your obligations. Sofytax provides tax and filing services but does not provide legal advice.