Business Registration Manual
The North Carolina Secretary of State does not administer or have any control over these federally required filings.
Who is required to report beneficial ownership information (“BOI”)?
Certain businesses, referred to by FinCEN as “reporting companies,” are required to report beneficial ownership information to FinCEN. Reporting companies include domestic and foreign businesses formed outside the US. A reporting company is required to file the federally required BOI report with FinCEN unless an exemption applies.
North Carolina business entities that do not fall within the scope of the reporting requirements include sole proprietorships, general partnerships, unincorporated associations, and wealth planning trusts. Tax-exempt entities are also exempt from the CTA filing requirements. These entities include any organization that is described in section 501(c) of the Internal Revenue Code and exempt from tax under section 501(a).
The North Carolina Secretary of State does not administer or have any control over these federally required filings. Check with the FinCen webpage FinCEN.gov/BOI for up-to-date, accurate information about how this federal requirement may apply to your business and how to file the required information with FinCEN.
Who is exempt from reporting requirements?
The CTA lists 23 categories of entities that are exempt from reporting. Many of the exempt categories are already subject to similar regulation such as banks, credit unions, tax- exempt entities, public utilities, and large operating companies.
The North Carolina Secretary of State does not administer or have any control over these federally required filings.
What happens if a reporting company fails to report beneficial ownership information?
The CTA provides that willfully reporting or attempting to report false or fraudulent beneficial ownership, or willfully failing to report or make updates to the reported data is a federal offense that shall be punished with a civil penalty of up to $500 for each day that the violation continues, or criminal penalties, including imprisonment for up to two years and/or a fine of up to $10,000.
The North Carolina Secretary of State does not administer and has no responsibility for enforcing the CTA or the beneficial ownership information reporting program. Check with the FinCen webpage fincen.gov/boi for up-to-date, accurate information about this federal program and how it may apply in your case.
Where can I get more information on this topic?
Information is available on www.fincen.gov/boi
The North Carolina Secretary of State does not administer and has no responsibility for enforcing the CTA or the beneficial ownership information reporting program.