Mortgage

Beneficial Ownership Information (BOI) Reporting Updates

The Financial Crimes Enforcement Network (FinCEN) has announced that the beneficial ownership information (BOI) reporting requirements under the Corporate Transparency Act (CTA) are back in effect with a new deadline of March 21, 2025, for most reporting companies. This decision came after the U.S. District Court for the Eastern District of Texas lifted the preliminary injunction on enforcement of the CTA on February 17, 2025.  Please monitor updates on the FinCEN website.

Key updates include:

1. New Deadline: The vast majority of reporting companies must file their initial BOI reports by March 21, 2025.
2. Potential Further Modifications: FinCEN will assess options to possibly modify other deadlines during the 30-day period, prioritizing reporting for entities with the most significant risk to national security. The agency is indicating two key points:
   1. It will consider further modifications to reporting deadlines, focusing on entities that pose significant national security risks.
   2. It plans to initiate a process to revise the BOI reporting rule this year, aiming to reduce the burden on lower-risk entities, particularly many U.S. small businesses
3. Filing Process: Reporting companies should submit their BOI reports via FinCEN’s E-Filing.

FinCEN has stated that it will provide an update before the March 21, 2025, deadline regarding any further modifications to the Beneficial Ownership Information (BOI) reporting, recognizing that some reporting companies may need additional time to comply with their BOI reporting obligations. Please monitor updates on the FinCEN website.

At this time, Richey May is not engaging to prepare these filings. Please engage with your legal counsel to understand your BOI requirements and filing obligations.

For more information or if you have any questions regarding these new changes from FinCEN, please reach out to your Mortgage Banking Tax Expert at Richey May or contact us at info@richeymay.com.