As a landlord, you’re used to juggling multiple responsibilities. Now, there’s a new task on your to-do list: filing a Beneficial Ownership Information Report (BOIR). If you’re using an LLC for your rental properties, this new federal BOIR filing requirement is something you can’t afford to ignore.
What is a BOIR, anyway?
BOIR stands for Beneficial Ownership Information Report. It’s a new requirement under the Corporate Transparency Act, designed to increase transparency in business ownership. Here’s the scoop:
- It applies to most LLCs, including those used by landlords for rental properties. Find out if your LLC is exempt.
- You’ll need to report information about your LLC’s “beneficial owners” — typically, anyone who owns 25% or more of the company or has substantial control over it.
- Landlords must file all reports with FinCEN, the U.S. Treasury’s Financial Crimes Enforcement Network.
Why should landlords care about BOIR?
You might be thinking, “Great, another form to file.” But BOIR is more than just paperwork. Here’s why it matters:
- It’s mandatory: Most LLCs must file, regardless of size or number of properties.
- The penalties are steep: Non-compliance can cost you up to $591 daily. That adds up fast!
- It could affect your business operations: Failing to file might complicate future loans or property transactions.
Don’t let BOIR compliance slip through the cracks. Check your exemption status and file your report easily to avoid penalties.
What do you need to do?
Filing your BOIR doesn’t have to be a headache. Here’s a simple breakdown:
- Gather information: You’ll need details about your LLC and its beneficial owners.
- Know your deadline: Make sure you’re aware of when you need to file.
a. If you registered your LLC before January 1, 2024, you must file your Beneficial Ownership Information Report (BOIR) by January 1, 2025.
b. If you created your LLC in 2024, you must file your Beneficial Ownership Information Report (BOIR) within 90 days of your LLC’s creation date. - File accurately: Ensure all information is correct to avoid any issues.
How TurboTenant Can Help
We know you’d rather focus on managing your properties than worrying about new regulations. That’s why we’ve partnered with LegalZoom to help you navigate the BOIR filing process.
Through this partnership, you can:
- File with confidence: Get peace of mind with LegalZoom’s Accurate Filing Guarantee.
- Avoid mistakes and penalties: LegalZoom is an authorized FinCen BOIR filer and will help ensure your filing meets federal requirements to avoid liability and fees.
- Get compliant quickly: Satisfy this federal reporting requirement for FinCen in only 12 minutes.
While TurboTenant can’t file the BOIR for you, we can connect you with experts at LegalZoom who offer a 100% accurate filing guarantee, helping you maintain compliance and focus on your rental business.
The Bottom Line
BOIR is a new reality for landlords with LLCs, but it doesn’t have to be a burden. By understanding the requirements and using available resources, you can check this new obligation off your list once and for all, getting back to what you do best — managing your business.
Ready to tackle your BOIR filing and keep your rental business compliant?