The Corporate Transparency Act may require certain U.S. companies to disclose beneficial ownership information to FinCEN to combat financial crimes.

As of today, 12/05/2024, Van Buren, AR business owners have 26 calendar days (or 19 business days) left to file their Beneficial Ownership Information (BOI) report with FinCEN.

1. Determine if Your Business Must File.

A “reporting company” is any small business, corporation, or LLC that is registered with the state, unless exempt. Exemptions apply to publicly traded companies, banks, and charities. For example, a local bakery in Van Buren, AR would likely need to file a BOI report, while a national bank would not.

2. Identify Your Beneficial Owners.

A “beneficial owner” is someone who either has substantial control over a company or owns at least 25% of it. For example, in Van Buren, the owner of a toy store who holds 40% of the shares and is actively involved in major business decisions is a beneficial owner.

3. Gather the Required Information.

Prepare:

• Business name, address, and EIN.

• Beneficial owners’ names, addresses, DOBs, and ID details.

4. File Your BOI Report.

Deadlines:

• Existing businesses: File by 01/01/2025.

• New companies (2024): File within 90 days of formation.

• New companies (2025+): File within 30 days of formation.

ZenBusiness offers guidance and tools to business owners in Arkansas for BOI reporting, simplifying the process and ensuring compliance with FinCEN requirements.

Penalties for Non-Compliance:

While a Texas federal district court’s preliminary injunction puts this requirement on hold, many experts expect that to be overturned. In that event, failure to file could lead to fines of $500 per day, up to a maximum of $10,000, and possible criminal penalties. FinCEN provides a 90-day safe harbor period for corrections without penalties.

Waiting could mean scrambling to meet compliance requirements or facing penalties. Business owners in Arkansas can avoid hassles and legal repercussions by filing now with the quick and accurate assistance of ZenBusiness.

Additional Resources:

• Which AR Companies Are Exempt from the Corporate Transparency Act?

• A Guide to BOI Compliance in Arkansas

• Here's a Beneficial Ownership Report Guide for AR SBOs

• Arkansas and Other State Requirements for Beneficial Ownership Reporting

• Details on Preliminary Injunction

• Arkansas SBOs: Use This to Complete the Beneficial Ownership Information Form

• Arkansas FinCEN BOI Filing Services

• FinCen Definition

We want to hear from you!

Don’t miss out on the chance to make an impact! Complete our BOI survey by December 18, 2024. Take the survey here! Your participation is greatly appreciated!

As of December 3, 2024, a Texas federal district court has issued a preliminary injunction for all states to block the CTA and its relevant regulations. However, filing your BOI will help you avoid fines if this injunction is overruled.