FinCEN has introduced a new rule benefiting companies established in 2024 by extending their deadline for submitting initial reports to FinCEN by 90 days. Starting January 1, 2024, certain entities such as corporations and limited liability companies are required to disclose information about their owners and founding members to FinCEN.

Under the recent Reporting Extension Rule, companies formed in 2024 now have a 90-day grace period from their creation date to file these reports. Previously, the rule demanded companies formed after January 1, 2024, to report within 30 days of their establishment. This extension aims to provide companies formed or registered in 2024 with an opportunity to acquaint themselves with the guidelines and educational resources available at: https://www.fincen.gov/boi.

This change in deadlines specifically applies to companies established in 2024. Those formed before January 1, 2024, must adhere to a deadline of January 1, 2025, while those formed after January 1, 2025, still have 30 days to submit their reports.

Despite suggestions to extend the 90-day deadline to all companies formed after January 1, 2024, FinCEN declined, believing that companies created after January 1, 2025, will be better equipped due to increased educational efforts planned for the coming period. FinCEN will monitor compliance and may make adjustments to reporting deadlines later.

Looking ahead, while this extension helps 2024-established companies, others may still face challenges understanding and complying with these rules. Numerous unanswered questions persist about the specifics of compliance, and companies are advised to stay updated on any further guidance from FinCEN regarding these regulations. Should your business have inquiries about these upcoming reporting requirements or require assistance with the extension, don't hesitate to contact FinCEN at: https://www.fincen.gov/contact or contact our team.