FINCEN ALERT 3-4-2025
FINCEN ALERT
On March 2nd, 2025, the Department of the Treasury issued a notice stating that no penalties or fines will be enforced for failure to file a Beneficial Owner Information Report (“BOIR”) under the existing deadlines. Furthermore, the notice provided a statement that the Treasury would no longer seek to enforce BOIR reporting against US citizens, domestic reporting companies, or their beneficial owners. The Treasury Department is shifting the reporting away from domestic entities and the new forthcoming rules will focus only on foreign reporting companies. Therefore, domestic reporting companies no longer need to file their BOIR as no penalties or fines will be imposed. However, since the notice is ambiguous as to US Citizens owning foreign reporting companies, or US citizens who also hold citizenship in a foreign county, we recommend those taxpayers and entities continuing the reporting process. We will continue to monitor the situation and provide additional notices once more information is released. If you would like to discuss your specific circumstances, please contact our office at your convenience.
For those BOIR reports in progress, we will pause further work to avoid any further charges, pending the forthcoming rules anticipated to be released by March 21, 2025.
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