In a significant development for small businesses, the U.S. Treasury Department has announced an extension to the deadline for businesses to file the new Beneficial Ownership Information (BOI) form, which was initially set for January 1, 2024. The extension comes in light of a recent ruling by a federal appeals court that halted the enforcement of the Anti-Money Laundering law, affecting the BOI reporting requirements. Small businesses are now required to submit the form by May 2024, according to a Treasury spokesperson. The BOI form is designed to collect information on individuals who own or control businesses and is part of broader efforts to combat money laundering and financial crime. Kelly Phillips Erb, a tax attorney, expressed relief over the delay, stating, ‘This gives businesses more time to prepare and understand their obligations under this new rule.’ The legal challenges have emerged from concerns that the previous requirements could pose undue burdens on small enterprises. As of today, businesses are advised to stay alert for further developments as the legal situation continues to unfold.
