Bonus. MAJOR BOI NEWS UPDATE (DO I HAVE TO FILE A BOI REPORT?)

MAJOR BOI NEWS UPDATE (DO I HAVE TO FILE A BOI REPORT)

Listen Now:

This is just a quick bonus episode on the breaking news about the BOI law (Beneficial Ownership Information). Yes, a federal court in Alabama has ruled it as unconstitutional. But you still have to file it (don’t worry it’s free and simple). Only the plaintiffs in the case don’t have to file. 

Bonus. MAJOR BOI NEWS UPDATE (DO I HAVE TO FILE A BOI REPORT?)

In this episode, you’ll hear… 

  • Breaking news about BOI from a federal court in Alabama
  • What it means for you
  • Links to help you file your BOI

Listen to On Your Terms® on your favorite podcast platform

Listen to episode, follow along so you never miss an episode, and leave a review to help introduce the show to more online business owners just like you!

What is BOI

BOI stands for Beneficial Ownership Information. Congress passed a bill called The Corporate Transparency Act, requiring businesses to file their BOI (essentially, who the business owners are). That law took effect on January 1, 2024.

What is this BOI court case all about?

In early March 2024, a federal court in Alabama ruled The Corporate Transparency Act and its BOI requirement to be unconstitutional. However, the result is just that the plaintiffs in the case don’t have to file a BOI. At this point, everyone else still has to file one. Things may change as the law gets poked and prodded across the judicial system, but for now, it’s probably best to assume you are required to file a BOI.

Help with BOI

Filing your BOI is free and pretty basic, but it can seem intimidating. You can sign up here for my free BOI guide to walk you through it. I’ll also be tracking any breaking developments related to BOI and putting them all in my free weekly newsletter.

As always, if you have specific questions about your individual business situation as it relates to BOI, you should check with an attorney to figure out the best path forward.

Download Episode Transcript

Sam Vander Wielen:
Hey, hey. And welcome back to On Your Terms. I’m your host, Sam Vander Wielen. And today is a little bit different because I’m actually just here with a little bit of breaking news, if there ever was such a thing in online business. Also, I feel like we should have a little do do do do do do breaking news like thing. So hopefully we can do that.

Anyway, okay, I want to get straight to the point because I have spoken to you already about this major new law that came into place on January 1st of this year, 2024 requiring you to file what’s called a BOI form, B-O-I, Beneficial Ownership Information. I’ll link down below to the episode that I did early on in January, giving you a little like quick overview of what it is, what it requires from you. And I’ve also got a free guide for you that walks you through how to file your BOI form and even a video walkthrough tutorial that comes with that guide. Absolutely free to you that I will link to down in the show notes so that you know exactly how to fill this thing out.

But today, we’re talking just about the update. For those of you who have heard about BOI before, you might be hearing some of the things online or seeing things in the news that recently a federal court in Alabama found BOI to be unconstitutional, that really, they found the Corporate Transparency Act to be unconstitutional and that act is what spawned the BOI form requirement.

So what does that mean for you? Well, here’s the deal without getting all lawyery on you or making you sit through something that feels more like a law class, I think really what you need to know is that an Alabama federal district court ruled that this law was unconstitutional because it overreached certain constitutional parameters that like, frankly, we just don’t need to go over because they’re boring and there’s just no need. If you want to become a lawyer, go to law school.

So besides the point, really the point is that this ruling, however, does not apply nationally. So I’m seeing a lot of people talk about this and saying, and I’m getting like messages saying, I heard BOI was ruled unconstitutional. It was by that Federal Alabama Court, but the ruling from that federal district court in Alabama only applies to the plaintiffs in that case. Even the governing body that’s overseeing the BOI form and the registration FinCEN, they have come out and said that they still will be enforcing the rules about BOI against everybody who is not the plaintiff of that case. So it’s important that if you’re required to comply with BOI, you still require with it.

Now that doesn’t mean that in the future, this won’t get appealed or go higher up or be spread onto a more of a national level, that BOI will be found to be unconstitutional in the future. It’s possible. I have no idea what additional courts will do, and I am not a future seer in any way. So I have no idea.

But for right now, for right this very moment, March of 2024, what you need to know is that if you registered your business this year, so in 2024, if you have registered your business as a sole proprietor, as an LLC or some other kind of business, and you fall under the parameters of BOI, what FinCEN is saying is that you still have to file your BOI report within 90 days of your registration of your business, right? The BOI form is free. It takes five to 10 minutes. It’s super easy, especially when you follow my guide that’s linked down in the show notes.

If you registered your business prior to January 1 of 2024, so anytime from 2023 back, if you registered any time prior to January 1st of 2024, you have until January 1st of 2025 to file. You’ve always had that much. So technically you can wait. You could wait this out a couple of months to see what happens. Typically, though, these things take much longer than that so I’m not really sure. I mean, the lawyer in me says that we should just file because it’s free. And I think this applies to us. Obviously, you can consult with your own attorney to get a legal opinion as to what the risk is like for you. I can’t tell you what to do, so please do not write me and ask me.

Okay. Last but not least, the thing you need to know is if you’ve already filed a BOI report or if you do soon, if you have any updates or changes in your ownership information, you are still required to update your BOI form within 30 days of those updates. So if you, for example, bring in a business partner next week, you have 30 days from that for when you bring in your business partner to update your ownership information with the government.

So I think with that, this is all to say, you’re going to hear a lot about this. You’re going to hear about a lot of hysteria. You’re going to hear a lot of people telling you, you don’t have to do this anymore. But I wanted to clear the air and just say that this ruling, yes, came out of a Federal Court in Alabama, but it doesn’t apply to all of us. So, unless you are a plaintiff in that case, the general thought on this topic is that that doesn’t apply to you, that you still have to follow what I just outlined for you. And I would still get the guide that I have linked down below in the show notes. And I would just keep your eyes on the news.

Speaking of, if you don’t already, this is a great time and a great reason to sign up for my free weekly newsletter, Sam’s Sidebar. Because in Sam’s Sidebar, every single week, first of all, I answer a legal Q&A, I give some marketing strategies and behind the scenes, business building advice, but I also share weekly online business news. And so next week’s episode or next week’s issue is actually going to have a big update about BOI and what’s going on. So if you want to make sure you don’t miss updates like this, it’s a great time to sign up for Sam’s Sidebar. I’ll make sure that we share a link down below.

Thank you so much for listening and I’ll see you on Monday for our regularly scheduled episode. We’re talking all about burnt pizza. See you on Monday.

Thanks so much for listening to the On Your Terms podcast. Make sure to follow on apple podcasts. Spotify, or wherever you like to listen to podcasts. You can also check out all of our podcast episodes, show notes, links, and more at samvanderwielen.com/podcast. You can learn more about legally protecting your business and take my free legal workshop, Five Steps to Legally Protect and Grow Your Online Business at samvanderwielen.com. And to stay connected and follow along, follow me on Instagram at @SamVanderWielen and send me a DM to say hi.

Just remember that although I am a attorney, I am not your attorney, and I am not offering you legal advice in today’s episode. This episode and all of my episodes are informational and educational only. It is not a substitute for seeking out your own advice from your own lawyer. And please keep in mind that I can’t offer you legal advice. I don’t ever offer any legal services, but I think I offer some pretty good information.

RESOURCES DISCUSSED IN THIS EPISODE:

  • Breaking news about BOI from a federal court in Alabama
  • What it means for you
  • Links to help you file your BOI 

If you’re ready to legally protect and grow your online business today, save your seat in my free workshop so you can learn how to take the simple legal steps to protect the business you’ve worked so hard to build. Click here to watch the free workshop so you can get legally protected right now!

LEARN:

  • Read Sam’s Blog for the latest legal tips, podcast episodes & behind the scenes of building her seven-figure business.
  • Listen to our customer stories to see how getting legally legit has helped 1,000s of entrepreneurs grow their own businesses.

CONNECT:

FAV TOOLS:

  • Kajabi // use Kajabi to sell your course, program, or even build your entire website. Get a 30-day free trial with my link.
  • SamCart // what I use for my checkout pages and payment processing and LOVE. And no, not because it’s my name.
  • ConvertKit // what I use to build my email list, send emails to my list, and create opt-in forms & pages

DISCLAIMER: Although Sam is an attorney she doesn’t practice law and can’t give you legal advice. All episodes of On Your Terms are educational and informational only. The information discussed here isn’t legal advice and does not intend to be. The info you hear here isn’t a substitute for seeking legal advice from your own attorney.

© 2022 Sam Vander Wielen LLC | All Rights Reserved | Any use of this intellectual property owned by Sam Vander Wielen LLC may not be used in connection with the sale or distribution of any content (free or paid, written or verbal), product, and/or service by you without prior written consent from Sam Vander Wielen LLC.

AFFILIATE LINKS: Some of the links we share here may be affiliate links, which means we may make a small financial reward for referring you, without any cost difference to you. You’re not obligated to use these links, but it does help us to share resources. Thank you for supporting our business!

Produced by NOVA Media

0 Comments
Join The Conversation

So What Do you think?

Share Your Thoughts

Your email address will not be published. Required fields are marked *

Register for my FREE legal training

5 Steps To Legally Protect & Grow Your Online Business

SAVE YOUR SEAT NOW!

You May also like