Is a Federal BOI Filing Required for a NC Brokerage Entity?

The federal Corporate Transparency Act (CTA) was passed in 2021 and included significant reforms to prevent money laundering, combat terrorist funding and reduce corruption and tax fraud. Part of the CTA was the creation of an e-filing system that would require certain types of U.S. and foreign entities to report beneficial ownership information to the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury.

The mandatory report is called a Beneficial Ownership Interest Report (BOIR). Most LLCs, corporations and other legal entities are required under the new law to file the BOI Report with FinCen or face potential substantial penalties.

The law is currently the subject of legal challenges. Filing deadlines have been imposed, temporarily halted, and reinstated. The North Carolina Real Estate Commission recommends that brokerage entities in North Carolina who have not already filed promptly seek out specific legal advice as to how the law applies to them and any filing deadline to which the brokerage firm may be subject.   More information is available at www.fincen.gov.boi and https://www.scotusblog.com/case-files/cases/garland-v-texas-top-cop-shop/