Rexburg, Idaho BOIR Services

Why Do Companies Need to File the BOIR?

By filing the BOIR, you are letting the proper authorities at the United States Department of Treasury know who the individual is that controls or owns your business to prevent illegal business from taking place within your company. This report makes it more difficult for people to be involved in illegal practices, like money laundering or tax evasion, by hiding behind a company name and not revealing the true identity of the owners.

Open Transparency

Ownership structures within larger companies can be complex, so filing a BOIR aids in the transparency of the company and the hierarchy of ownership within it. The proper authorities and law enforcement will be able to access accurate information concerning the business and who has control of it.

Correct Accountability

Within your business, you do not want to be held accountable for something illegal that had happened, that you did not do. This report makes it harder for people to hide their identity within a large company that has a complex structure.

Proper Protection

Having updated and accurate information will be extremely beneficial for your company if there is ever a legal or financial investigation to take place. Taking these steps helps to protect your business in the long run by providing information that proves your owners are running it ethically and legally.

Entities That Need to File

If your company is registered to do business in the United States through a secretary of state, then you will need to file the BOIR. This typically includes corporations such as:

• LLC (Limited Liability Company)
• LLP (Limited Liability Partnership)
• DBA (Trade name)

You will also need to file if you have a smaller company – less than 20 people and making less than $5 million a year. There is a list of exemptions listed in the Small Entity Compliance Guide found in the Financial Crimes Enforcement Network (FinCEN). If your business does not fall under any of those exemptions, then you will need to file.

A Beneficial Owner

The person who is considered to be the beneficial owner of a company must meet one of the following requirements for filing the BOIR. They will need to have substantial control over the company or have control over at least 25% of the company’s ownership interests. They can either directly or indirectly exercise control over the company. When the beneficial owner of the company has been narrowed down, information on their legal name, birthdate, address, and identification number indicating jurisdiction will be required upon filing to ensure legal compliance. Other information regarding the company will be required to be reported on by the beneficial owner as well.

Substantial Control

The beneficial owner of a company that is filing the BOIR needs to have substantial control over the company. That can look different from business to business but is classified in a few ways. This individual is exercising substantial control over the company if they identify with any of these categories.

• A Senior Officer: If the individual is a senior officer, then they are considered to be in substantial control. This could be the company president, CEO, CFO, or another type of officer who has similar duties.
• Authority to Appoint: The ability to appoint or fire other officers within the company demonstrates substantial control of the business.
• Important Decision-Maker: If this person is an important decision-maker or the sole decision-maker, then they can be considered to have substantial control.

The reporting company must make sure that this person is the beneficial owner – the one with substantial control over the company to be accurate and complete to its fullest extent.

How to File a BOIR for a Rexburg, Idaho Business

Every BOIR will need to be filed through FinCEN. You can file online on their website FinCen BOI Filing. Choosing not to file could cause you to receive civil penalties with fines of up to $500 a day if you violate the Corporate Transparency Act. With the BOIR services that Cooper Norman provides, Cooper Norman can help ensure that all the requirements are met for filing for your business. As regulations evolve and update, the accountants at Cooper Norman will help you stay current with the latest regulations and will offer you ongoing support for your business to stay compliant and trustworthy with not only the regulations but your clients as well.

Cooper Norman and BOIR Services

Building trust, protecting your business, and paving the path toward success is what can be accomplished by following these processes effectively and completely. All of these steps ensure that the businesses in Rexburg, Idaho can stay compliant and transparent through the accurate filing of the BOIR. Cooper Norman wants to see your company successful and legally protected. Navigating these legal processes can be complex, but our accountants are skilled at helping your business stay organized and legally compliant to continue to pave the path toward success and continue to grow.

Contact Us

Rexburg, Idaho BIOR services offer protection from regulatory challenges and can help safeguard your business from potential risks. Set your business up for success through the BOIR services offered at Cooper Norman. Our services will allow you to be able to focus on your core operations with confidence. Contact us today to get started.