Marie Posted August 5 Report Share Posted August 5 I've read alot on BOI, but want someone else's opinion. In MO, when an individual wants a DBA, the bank requires a fictitious name registration with the secretary of state. I've read that I do not have to do the BOI on that business. Partnerships don't register with the secretary of state, but do fictitious name registration for their bank accounts. None of these are LLC's, which I know have to be registered. Am I reading the instructions correctly? Quote Link to comment Share on other sites More sharing options...
Lee B Posted August 5 Report Share Posted August 5 On July 8th, FINCEN released about 50 pages of updated FAQs. https://www.fincen.gov/boi-faqs 1 Quote Link to comment Share on other sites More sharing options...
WITAXLADY Posted August 6 Report Share Posted August 6 My impression was if they had an EIN.. Quote Link to comment Share on other sites More sharing options...
JohnH Posted August 6 Report Share Posted August 6 It's my understanding that any entity which is registered with their state is a reporting entity which must file the BOI. This would include Corporations, LLC's, SMLLC's, PLLC's, Limited Partnerships/FLP's, and so on. Even some trusts, particularly those which must register with their state, are reporting entities. Quote Link to comment Share on other sites More sharing options...
JohnH Posted August 7 Report Share Posted August 7 I also learned this evening that most Homeowners Associations must file the BOI report. That’s going to be a real pain because their boards typically rotate some members annually. So that means the BOI report becomes an annual report with huge potential penalties, because all board members probably meet the “substantial control” criteria. 2 Quote Link to comment Share on other sites More sharing options...
Randall Posted August 7 Report Share Posted August 7 16 hours ago, WITAXLADY said: My impression was if they had an EIN.. Even a sole practitioner like myself? I have an EIN for the tax return number (instead of my ssn). But I'm not a SMLLC or any 'entity'. Quote Link to comment Share on other sites More sharing options...
Lee B Posted August 7 Report Share Posted August 7 38 minutes ago, Randall said: Even a sole practitioner like myself? I have an EIN for the tax return number (instead of my ssn). But I'm not a SMLLC or any 'entity'. No, the FAQs have a definite answer about sole proprietors filing Schedule C with a "dba" 2 Quote Link to comment Share on other sites More sharing options...
Marie Posted August 7 Author Report Share Posted August 7 I emailed Fincen and they called me back. She read to me that if your only requirement is to register a fictitious name, that business does not have to file 1 Quote Link to comment Share on other sites More sharing options...
Medlin Software, Dennis Posted August 7 Report Share Posted August 7 14 hours ago, JohnH said: I also learned this evening that most Homeowners Associations must file the BOI report. That’s going to be a real pain because their boards typically rotate some members annually. So that means the BOI report becomes an annual report with huge potential penalties, because all board members probably meet the “substantial control” criteria. Probably no real issue for the HOA. They will likely hire it out and increase the bill to the homeowners. Quote Link to comment Share on other sites More sharing options...
JohnH Posted August 8 Report Share Posted August 8 6 hours ago, Medlin Software, Dennis said: Probably no real issue for the HOA. They will likely hire it out and increase the bill to the homeowners. I think the main issue is smaller HOA's, especially those who don't use a management company. The cost of the bill for preparation of the form is insignificant, provided they can find someone willing to do the work. My concern is the damage if a HOA board fails to file properly and then has to assess the homeowners for the penalties. 1 Quote Link to comment Share on other sites More sharing options...
Terry D EA Posted August 11 Report Share Posted August 11 I'm definitely following this one. I am the treasurer of our HOA and we do have a CPA firm who files the taxes and provides yearly audits and we do use a management company. I never gave any thought to the BOI requirement and I an almost positive the manager of our HOA is clueless about this. 1 Quote Link to comment Share on other sites More sharing options...
Terry D EA Posted August 11 Report Share Posted August 11 Well, the HOA may be exempt if they are recognized as a 501-C4 entity. We are registered as a non-profit organization. I was not involved in this when this got started in 2018. I know I will reach out to the CPA who has handled this since day one. 1 Quote Link to comment Share on other sites More sharing options...
Pacun Posted August 13 Report Share Posted August 13 Has anyone filed for a client or own company already? If not, when do you think you will file? Quote Link to comment Share on other sites More sharing options...
Lee B Posted August 13 Report Share Posted August 13 I am not filing for any clients. I will probably to file my own until November. 4 Quote Link to comment Share on other sites More sharing options...
Lion EA Posted August 13 Report Share Posted August 13 Ditto 2 Quote Link to comment Share on other sites More sharing options...
jklcpa Posted August 13 Report Share Posted August 13 I'll be filing only for my own corporation later this year. 4 Quote Link to comment Share on other sites More sharing options...
BulldogTom Posted August 13 Report Share Posted August 13 Will any of you require your clients to show you proof of filing prior to filing the tax returns next year? I am thinking about it. Tom Longview, TX Quote Link to comment Share on other sites More sharing options...
jklcpa Posted August 13 Report Share Posted August 13 1 hour ago, BulldogTom said: Will any of you require your clients to show you proof of filing prior to filing the tax returns next year? I am thinking about it. Tom Longview, TX What would be the need for proof of filing, as a courtesy reminder if they haven't? Will there be questions on the returns that requires us to know this? I did just make 2 reminder phone calls for 3 clients all using the same law firm. The first one has his own LLCs for real estate and also has authority to make decisions for parents' LLC. He received an information package for his own reporting but parents have not. The other client didn't even receive any package for his C corp. 1 Quote Link to comment Share on other sites More sharing options...
Lee B Posted August 13 Report Share Posted August 13 1 hour ago, BulldogTom said: Will any of you require your clients to show you proof of filing prior to filing the tax returns next year? I am thinking about it. Tom Longview, TX What is the purpose of doing that? If they say no, what would you do? Quote Link to comment Share on other sites More sharing options...
Abby Normal Posted August 13 Report Share Posted August 13 29 minutes ago, jklcpa said: Will there be questions on the returns that requires us to know this? I think there already is on the 2023 forms, or at least on some input screen. Quote Link to comment Share on other sites More sharing options...
jklcpa Posted August 13 Report Share Posted August 13 31 minutes ago, Abby Normal said: I think there already is on the 2023 forms, or at least on some input screen. I know there are the usual questions regarding ownership and foreigners, but I don't recall seeing any questions specific to the BOI reporting on the 1040, 1120, 1120S or 1065 forms. I pulled up each of those forms for 2023 and searched for "beneficial" and didn't come up with anything. What am I missing? 1 Quote Link to comment Share on other sites More sharing options...
Lee B Posted August 13 Report Share Posted August 13 57 minutes ago, Abby Normal said: I think there already is on the 2023 forms, or at least on some input screen. The effective for BOI Reporting was January 1, 2024. What would the question even be? As far as 2024 goes, whether your client files their BOI or not has no effect on the filing of any tax returns. We don't ask clients whether they are drug addicts or abuse their children??? 1 Quote Link to comment Share on other sites More sharing options...
Margaret CPA in OH Posted August 13 Report Share Posted August 13 I think I will include in my cover letter, in addition to the information about foreign bank account reporting through FinCEN and that I do NOT prepare this, information about BOI with links and that I do NOT prepare this either. Just a heads up thing. I don't think any of my clients have this requirement. Quote Link to comment Share on other sites More sharing options...
TexTaxToo Posted August 14 Report Share Posted August 14 20 hours ago, Lee B said: We don't ask clients whether they are drug addicts or abuse their children??? Well, you might now have to ask if their children were abused. SECURE 2.0 added an new 72(t) exception to the 10% tax for early withdrawals from retirement plans, effective for TY24, for domestic abuse victims. Domestic abuse is defined as "physical, psychological, sexual, emotional, or economic abuse, including efforts to control, isolate, humiliate, or intimidate the victim, or to undermine the victim’s ability to reason independently, including by means of abuse of the victim’s child or another family member living in the household." 1 Quote Link to comment Share on other sites More sharing options...
Margaret CPA in OH Posted August 14 Report Share Posted August 14 Wow. I hope I don't have to do this. So far I've had only one client in all these years take an early withdrawal and it was for first time home buyer. 1 Quote Link to comment Share on other sites More sharing options...
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