As a business owner in Iowa, staying compliant with federal regulations is crucial. One recent development you need to be aware of is the Beneficial Ownership Information Report (BOI-R) requirement, which took effect on January 1, 2024. This new filing is part of the Corporate Transparency Act and aims to combat money laundering and other financial crimes.
What is a BOI-R?
A BOI-R is a report that discloses information about the individuals who ultimately own or control a business. This includes:
- Individuals who directly or indirectly own 25% or more of the company
- Those who exercise substantial control over the company
Why is it Important?
Filing a BOI-R is not just a suggestion – it's a legal requirement. Failing to comply can result in severe penalties, including:
- Civil penalties of up to $591 per day
- Criminal penalties of up to 2 years in prison and $10,000 in fines
When Do I Need to File?
For new businesses:
- You have 90 days from the date of formation to file your initial BOI-R
For existing businesses:
- If your business was formed before January 1, 2024, you have until January 1, 2025, to file
How Iowa Business Filings Can Help
Navigating these new requirements can be challenging, but you don't have to do it alone. Iowa Business Filings specializes in helping entrepreneurs like you stay compliant with state and federal regulations. We offer BOI-R filing services at a competitive rate of $75, significantly lower than many competitors.
Don't let this new requirement catch you off guard. Stay ahead of the game and protect your business by ensuring your BOI-R is filed accurately and on time.
Remember, while BOI-R filing isn't an annual requirement, you must update your report within 30 days of any changes to your beneficial ownership information. Stay vigilant and keep your business in good standing with the help of Iowa Business Filings.
Comments