New LLC Reporting Requirement for 2024
I just saw on Twitter, and then confirmed on a government site (don't rely on Twitter as a primary reference), that there will be a new reporting requirement if you own a company.
FINCEN Beneficial Ownership Information
Some highlights:
- If you register an LLC BEFORE January 1st, 2024, you have until January 1st 2025 to report who the "Beneficial Owners" are i.e. you
- If you form an LLC AFTER January 1st, 2024, you have 30 days to notify FINCEN
- You can't submit your info to FINCEN at all until after January 1st, 2024
I'm sure the government is trying to catch tax cheats and criminals, so to do that, they have to annoy us normal business owners with more bureucracy.
That being said, this is a good example of one of those paperwork things you have to do as a 1099 that seem intimidating but actually is no big deal on its own.
Don't forget though, lest you pay annoying fines!
Want the full playbook? Check out Going 1099.