Dear NCA Members,

We want to bring your attention to a critical regulatory requirement that may affect your dry cleaning business. The Beneficial Ownership Information (BOI) filing is now a mandatory process for most U.S. small businesses under the Corporate Transparency Act (CTA), overseen by the Financial Crimes Enforcement Network (FinCEN). If your business meets the criteria, you must file to remain compliant and avoid potential penalties.

What is BOI Filing?

BOI filing requires businesses to report details about individuals who own or control at least 25% of the business or exercise significant control over it. The purpose is to prevent illicit financial activity by increasing transparency in company ownership.

Who Needs to File?

Most LLCs, corporations, and similar entities created or registered in the U.S. must submit a BOI report, unless they qualify for specific exemptions. If your dry cleaning business is structured as an LLC or corporation, you are likely required to file. Sole proprietorships are generally exempt unless they operate under a formal business entity.

New Filing Deadline: March 1, 2025

For businesses formed before January 1, 2024, the new filing deadline is now March 1, 2025 (originally January 1, 2025). If your business was created on or after January 1, 2024, you have 90 days from the date of formation to file.

How to File

1. Gather Required Information – This includes:
   • Business legal name and address
   • Taxpayer Identification Number (TIN/EIN)
   • Full legal name, date of birth, and address of beneficial owners
   • A copy of an identifying document (driver’s license or passport) for each beneficial owner
2. Submit the Report via the FinCEN website: https://www.fincen.gov/boi
3. Keep Records Updated – If there are changes in ownership, address, or other key information, you must update your BOI filing within 30 days of the change.

Penalties for Non-Compliance

Failure to file or submitting false information may result in civil penalties of up to $500 per day and criminal penalties, including fines and possible imprisonment.