Dear [CLIENT NAME]:

The beneficial ownership information (BOI) reporting requirements have been canceled for U.S. citizens, domestic reporting companies, and their beneficial owners. The U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN), the agency in charge of the program, has announced that it will not enforce any penalties or fines associated with BOI reporting rules under existing regulations.

The reason for the relief is that the Department of the Treasury will propose new rulemaking that will narrow the scope of the beneficial owner reporting rules to apply to foreign reporting companies only. This means that domestic entities will not be required to file any BOI reports.

At this time there is no information on what, if anything, will need to be done for domestic entities that have already filed. We will continue to update you as information is released on this issue.

Sincerely,

Your tax professional