Beneficial Ownership Information ( BOI ) Deadline Jan. 1st

[kmmcrafts]

Just a reminder to my small business friends.. If you haven't filed you're running out of time.. Search google for BOI and it should bring up info about this and you can get the PDF form to fill out on the gov. website. 

[Wichman]

Just one more nail in the coffin for me.

[BadBob]

They sure do like to meddle.

[kmmcrafts]

6 hours ago, Wichman said:

Just one more nail in the coffin for me.

Yeah, I know what you mean.. it's getting to the point of why bother trying.. I often wonder how many more people would have a business or side hustle if there wasn't so many hoops to jump through.. On the flip side, how many would not close up shop if they wouldn't keep making up new hoops to jump through, LOL..  

[DrPete]

So if your doing business and pay taxes in the United States that isn't good enough?

Probably if your dealing something illegal you should register so the DEA can find you and make sure you pay taxes on that "thing" your selling.

If you pay taxes that's all they care about.

Edited December 3, 2024 by DrPete
Removed politics

[kmmcrafts]

19 minutes ago, DrPete said:

So if your doing business and pay taxes in the United States that isn't good enough?

Probably if your dealing something illegal you should register so the DEA can find you and make sure you pay taxes on that "thing" your selling.

If you pay taxes that's all they care about.

And if Daddy can pardon you for screwing up. (Sorry this pisses me off)

They put this in place because they don't want any competition in the money laundering business is what I've heard it's about. Seems like the business license and tax I.D. numbers social security numbers and all the bank account info they already have should be plenty for them to find out what you're doing with your money... especially after hiring so many more IRS tax agents.. I guess they put this form together so it makes it easier for them to look to see what we're doing.  

[Mike Crosa]

Corporate Transparcency Act has been blocked Nationwide by Texas Court.

 

[kmmcrafts]

On 12/4/2024 at 10:19 AM, Mike Crosa said:

Corporate Transparcency Act has been blocked Nationwide by Texas Court.

 

I've heard this... I still haven't filled it out.. I been trying to get in contact with my CPA and get a reassurance that I do not qualify and no need to fill it out.. the way I read it, I don't think I qualify.. but if they really going to fine you $500 per day well.. wouldn't take long before I lose everything I've made. LOL

[Mike Crosa]

Its a controversial subject for CPA's and accountants.  Many if not all say that it is a legal matter and should be done by an attorney, many attorneys do not want to do it either.  I myself will not do them. To much liability on my part.  For example you are an LLC and you are the only owner, you have to file.  If you take on a partner you have to quickly notify BOI or you will be penalized.  As an accountant, who may see a client once a year, I may not become aware of the change in ownership and would be liable to the client and the BOI for the lapse in accountability. No thanks. 

I would be curious to see what your CPA says.  I am surprised that he or she has not contacted you before this. There are several web sites which will do it for a reasonable fee or you can go directly to the government and fill it out yourself.

 

[kmmcrafts]

1 hour ago, Mike Crosa said:

Its a controversial subject for CPA's and accountants.  Many if not all say that it is a legal matter and should be done by an attorney, many attorneys do not want to do it either.  I myself will not do them. To much liability on my part.  For example you are an LLC and you are the only owner, you have to file.  If you take on a partner you have to quickly notify BOI or you will be penalized.  As an accountant, who may see a client once a year, I may not become aware of the change in ownership and would be liable to the client and the BOI for the lapse in accountability. No thanks. 

I would be curious to see what your CPA says.  I am surprised that he or she has not contacted you before this. There are several web sites which will do it for a reasonable fee or you can go directly to the government and fill it out yourself.

 

Filling it out looks like it's really simple and just basic info from what I have seen. I don't mind filing myself.. I just don't understand whether I'm required to or not.. one area I read it looks like I don't have to and another section makes me think i do.. LOL

I don't have a LLC just working off a DBA and then I filed with my state to get a sales tax license so I can avoid paying sales tax on materials and supplies and also so I can collect and remit my sales tax within the state. I have a EIN for this. 

It wouldn't surprise me one bit if my accountant wouldn't call.. She has done us wrong now 2 years in a row as well as my kids taxes.. Told me they filed my taxes then we never received any refund etc.. got to looking into it on the IRS website and no indication that they filed so contacted her which is super hard to do now days and she assured me they did file them.. somehow it got pushed into a file and never got sent in so my taxes were late. She got real busy and hired a few people and ever since then it's been a mess.. I'm looking to find another place but in the meantime I'm wanting to ask her if I need to file this or not since she knows my situation. 

[Wichman]

 "a corporation, a limited liability company (LLC), or was otherwise created in the United States by filing a document with a secretary of state or any similar office under the law of a state or Indian tribe"

From the website.

I have a DBA, from the state, and a tax license, from the state. So I fall under the rules, twice.

Edited December 5, 2024 by Wichman
Clarify

[Dave Monk]

I guess I'll see what happens if I don't file it. 

[kmmcrafts]

40 minutes ago, Dave Monk said:

I guess I'll see what happens if I don't file it. 

Yeah that could get interesting and very expensive in my opinion, LOL.. It'd likely take them a lot of time to catch up to this to see who hasn't filed etc.. considering they can fine you up to $500 per day.. and they don't contact you until 8 -10 months later, LOL.. I don't know if they'll go all in and hit someone hard with penalties or if they'll just slap your hand and give you a few days to get that taken care of.. I'm not one to want to find out myself. 

One of the leap years we had while I was in business I mailed my state taxes on the due date and was told as long as it was postmarked on the date I'd be fine.. I don't remember what the cause was but anyway I owed the state like $12.. in sales taxes I had collected. They cashed the check and then waited until October to send me a letter in the mail saying I was being penalized for being late ( which I wasn't ) anyway the penalty for the late fee was nearly $2000.. Didn't take me long to get on the phone to my state office and find out was happen.. turns out it was entered into their computer wrong or something and I was cleared of all of it.. But wow.. I'm glad I had records of my check being cashed by them and the dates in which I had signed the forms etc.. That is a big sum of money more than the pittly $12 that I actually owed.. 

[DrPete]

Perfect example of how to shut down the U.S.A. I wonder how many Mom & Pop shop small businesses never even heard of this?

I started filling out the form and then got my Fencin ID and it looks like they were happy with that, typical government program you need 100 pages of instructions to fill out one form.

[Mike Crosa]

As Kevin said it is real simple to fill out.  The problem is making sure that every change you make in your corp or llc is noted and reported. 

It is just another burden on the little guy who either has to pay someone to take care of it or do it himself.

 

[rjweb]

Maybe it will go away come January 21, 2025, RJ

[kmmcrafts]

19 hours ago, Wichman said:

 "a corporation, a limited liability company (LLC), or was otherwise created in the United States by filing a document with a secretary of state or any similar office under the law of a state or Indian tribe"

From the website.

I have a DBA, from the state, and a tax license, from the state. So I fall under the rules, twice.

To me this is conflicting info unless I'm reading it wrong.. The first part says exactly what you're saying but that last part of how I read it is no.. because I filed to get a IRS I.D. tax number, and for a fictitious business name ( DBA ).. 

Copied from the site: 

No, unless a sole proprietorship was created (or, if a foreign sole proprietorship, registered to do business) in the United States by filing a document with a secretary of state or similar office. An entity is a reporting company only if it was created (or, if a foreign company, registered to do business) in the United States by filing such a document. Filing a document with a government agency to obtain (1) an IRS employer identification number, (2) a fictitious business name, or (3) a professional or occupational license does not create a new entity, and therefore does not make a sole proprietorship filing such a document a reporting company.

Under the first part as you mention I do have to file.. but on the second part it makes it confusing as to whether I really do or not.. Can't get in contact with my accountant so I'm probably just going to fill this out anyway, and spend my time looking for references for a new tax person.. One I had for years was once considered the best in the area especially for small businesses.. but when she never calls back if you can even leave a voicemail because the machine is always full.. It's time to find a new person, LOL..   

[Mike Crosa]

Agree. You need an accountant who is responsive to your needs and is available.

[Mike Crosa]

Just received notice that the Justice Department has appealed the nationwide preliminary injunction. I think I will tell my clients who have not filed that they should file, just in case it comes  back and bites us.

 

Mike

[Mike Crosa]

BOI says they will continue to accept reports on a voluntary basis.  IMO we should file just in case.

 

 

[kmmcrafts]

Well, I went ahead and filled this out this morning.. quite simple info to fill out.. I did keep getting a kickback on my uploaded drivers license file format or something so I had to resubmit it a couple times while I played around with different formats.. apparently the PDF version is what it wanted... even though it said it supported jpeg etc.. none of them went through until I did the pdf. 

Probably my ugly mug broke the system.. 

Anyway it's done and I don't have to think about this in the back of my tiny brain anymore. 

[JTTHECLOCKMAN]

Just got off the phone with my accountant and she said if you have an LLC or Corporation you must file form. But they extended it till Jan1 2026

[Wichman]

My states (Idaho) business portal states anyone with a DBA has to file.

[kmmcrafts]

Yeah that's the thing with a lot of this stuff.. it is always different per state or jurisdiction... 

What kinda gets me is the pages you fill out is mostly just wanting your address and a piece of identification..( drivers license or? ) There is for me three pages to fill out and two of the three you upload the I.D. info.. Really straight forward and only takes a couple minutes.  

[JTTHECLOCKMAN]

11 minutes ago, kmmcrafts said:

Yeah that's the thing with a lot of this stuff.. it is always different per state or jurisdiction... 

What kinda gets me is the pages you fill out is mostly just wanting your address and a piece of identification..( drivers license or? ) There is for me three pages to fill out and two of the three you upload the I.D. info.. Really straight forward and only takes a couple minutes.  

This is basically to try to get these companies that use their business as shell corporations. The IRS has no records of them and they want to close that loop hole. It is not for small business owners like you. Yes different states have different rules for collecting this stuff so check with your accountant is best advise. But at least they extended the deadline and this way Accountants can talk to clients hopefully. This has been in the works for 3 years according to my accountant. Simple form. They have this info already but I just hate giving government any more info than necessary. Have your drivers license they have it all.