ATTENTION ALL BUSINESS OWNERS - VERY IMPORTANT INFORMATION

The Corporate Transparency Act (CTA) was enacted on January 1, 2024, to improve corporate transparency by mandating the reporting of beneficial ownership information (BOI).  The CTA aims to prevent the illicit use of companies for money laundering, fraud, and other criminal activities by establishing a comprehensive registry of BOI.

All “reporting companies” are required to file a BOI with the Financial Crimes Enforcement Network (FinCEN). A “reporting company” is a corporation, limited liability company, and any other entities created by the filing of a document with a secretary of state or any similar office in the United States, that does not otherwise qualify for an exemption. There are 23 types of entities that are exempt from reporting, mostly for those that are already subject to substantial federal or state regulation.

BOI’s provide information about the business entity itself and two categories of individuals: (1) Beneficial owners, and (2) Company applicants.

(1) Beneficial Owner:

A beneficial owner is an individual who either directly or indirectly: (1) exercises substantial control over the reporting company, or (2) owns or controls at least 25% of the reporting company’s ownership interests.

An individual can exercise substantial control over a reporting company in four different ways: 

1. The individual is a senior officer (the company’s president, chief financial officer, general counsel, chief executive office, chief operating officer, or any other officer who performs a similar function).

2. The individual has the authority to appoint or remove certain officers or a majority of directors of the reporting company.

3. The individual is an important decision-maker for the reporting company. 

4. The individual has any other form of substantial control over the reporting company as explained further in FinCEN’s Small Entity Compliance Guide attached to this email.

The BOI reporting is not an annual requirement unless the filer needs to update or correct information. 

Reporting companies established or registered before January 1, 2024, must file their initial BOI report by January 1, 2025. Reporting companies established or registered in 2024 have a 90-calendar-day window to file after receiving actual or public notice of their creation or registration's effectiveness. Reporting companies established or registered on or after January 1, 2025, must file within 30 calendar days after receiving actual or public notice of their creation or registration's effectiveness.

The willful failure to report complete or updated BOI to FinCEN, or the willful provision of or attempt to provide false or fraudulent beneficial ownership information may result in a civil or criminal penalties, including civil penalties of up to $500 for each day that the violation continues, or criminal penalties including imprisonment for up to two years and/or a fine of up to $10,000. Senior officers of an entity that fails to file a required BOI report may be held accountable for that failure.

More information regarding the BOI reporting requirements can be found at the following link  https://www.fincen.gov/boi.  

You may file your BOI at the following link https://boiefiling.fincen.gov. 

AS A BUSINESS OWNER YOU ARE RESPONSIBLE FOR DETERMINING WHETHER YOU ARE  REQUIRED TO FILE A BOI, FILING IT TIMELY, AND KEEPING IT UPDATE.  

If you have any questions or would like assistance with this requirement, please feel free to contact our office and set up a conference with attorney, Leana Brown.

Posted Thu, Feb. 15, 2024 8:00 am

A warm welcome to our newest Associate Attorney, Leana M. Brown!

We are thrilled to welcome attorney Leana M. Brown to GFTY!  Leana earned a Bachelor of Arts in Economics and Masters in Corporate Finance at University of Colorado Boulder, and her Juris Doctor from University of Nebraska College of Law in 2022. Leana lives in East Lansing with her sister, Katie, and their two dogs, Marshmellow and Lucy.  

Posted Fri, Apr. 21, 2023 8:00 am

NAME CHANGE!

We are excited to share the news about the evolution of our firm!  Effective immediately our firm's name has changed from Grua, Tupper & Young, PLC to Grua, Freeman, Tupper & Young, PLC. As always, at Grua, Freeman, Tupper & Young, PLC our commitment to our clients and our community is our highest priority!

Posted Wed, Feb. 22, 2023 8:00 am