DeKalb GA News

The Corporate Transparency Act requires U.S. companies to report their beneficial owners to the Financial Crimes Enforcement Network (FinCEN) in an effort to combat financial crimes. As of December 4, 2024, business owners in Decatur, Georgia, have until January 1, 2025, to file their Beneficial Ownership Information (BOI) report with FinCEN. Failure to meet this deadline could result in fines of $500 per day.

Businesses must determine if they qualify as "reporting companies," which includes most LLCs, corporations, and small businesses. Exemptions are provided for publicly traded companies and certain regulated entities. Business owners must identify their beneficial owners—those who hold substantial control over a company or own at least 25% of it—and gather required information such as business name, address, and Employer Identification Number (EIN), along with the beneficial owners' names, addresses, dates of birth, and identification details.

Existing businesses must file by January 1, 2025. New companies formed in 2024 are required to file within 90 days of formation; those formed in 2025 or later have a filing deadline of within 30 days of formation.

Non-compliance can lead to significant penalties including fines up to $10,000 and potential criminal charges. However, FinCEN offers a safe harbor period allowing corrections without penalties within the first 90 days.

Additionally, ZenBusiness provides solutions that simplify the process of BOI reporting for business owners aiming to comply with FinCEN regulations.

As a precautionary note: "As of December 3, 2024, a Texas federal district court has issued a preliminary injunction for all states to block the CTA and its relevant regulations. However," businesses are advised that "filing your BOI will help you avoid fines if this injunction is overruled."

A community initiative invites local business participation through a BOI survey due by December 18, offering donations for responses received.