FINCEN BOI Report Update: Must Be Filed If Business Closed in 2024

There’s a new update on the BOI report. This update is telling us basically many small business owners that thought that they did not have to file the BOI report in 2024. This update is telling us that they do need to file the BOI report even if your business is closed.

That’s what we’re going to talk about in this video. Hello from Freedom Tax Accounting. We’re an accounting firm where we have been providing quality tax and accounting services now for over 20 years.

FINCEN, the federal agency which is in charge of the BOI report, which is the new beneficial ownership information report that came into effect on January 1st of 2024, they made updates to the FAQ portion of their website clarifying that business owners that closed their business but did not file articles of dissolution before January 1st of 2024, they still need to file the BOI report before the year 2024 ends.

Let’s go to the website so I can show you. If we go to the BOI FAQ website, we scroll down, we go here to C13. If we read the third paragraph, it says if a reporting company continued to exist as a legal entity for any period of time on or after January 1st of 2024, meaning that it did not entirely complete the process of formally and irrevocably dissolving before January 1st of 2024, then it is required to report its BOI report to FINCEN even if the company wound up its affairs or ceased conducting business before January 1st of 2024.

So what does this mean? If you closed your business and you did not file the articles of dissolution for your business with the state that your business is incorporating in, then you have to file the BOI report in 2024 even if your business was under no operational duties in 2024, even if your business did not do anything in 2023. If your business did not file articles of dissolution with the state before January 1st of 2024, you have to do the BOI report.
We have many clients that came to us at the beginning of 2024 telling us I want to close my business. So for these people, they stopped operating in 2023 but they filed articles of dissolution after January 1st of 2024 and they still have to do the BOI report. So this is the new update that FINCEN just released.

So this is going to affect a lot of business owners that thought that they did not have to file the BOI report but because they had closed their business. Now if you filed your articles of dissolution after January 1st of 2024, you still need to do the new FINCEN BOI report before 2024 ends.

So this is the update that we wanted to tell you because we know that this will affect many small business owners. Now once again if you don’t know what the BOI report is, watch the following video and thank you for watching this video. Like, share it and subscribe to our channel.

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