How to File BOI Report in New Jersey – Ultimate Guide (2024)


Steve Bennett
Steve Bennett
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How to file a BOI Report in New Jersey: Since the Corporate Transparency Act, the Beneficial Ownership Information (BOI) principle has become an important aspect of the regulatory framework for Limited Liability Companies, Corporations, and all types of business structures. This act aims to increase transparency and fight against illegal financial activities by requiring businesses to disclose information about beneficial owners. In New Jersey, companies must comply with these BOI reporting obligations, and this guide will give a comprehensive overview of the processes involved, entities affected, and compliance actions that must be put in place.

New Jersey, also known as The Garden State, has a population of 9,438,124. That makes the state small business friendly. According to the act, small and medium-sized businesses have to file BOI reports. In this article, LLCBuddy editors shared the latest update and mandate on filing BOI reports in New Jersey.

What is Beneficial Ownership in New Jersey?

Beneficial ownership in New Jersey entails individuals who own or control an entity ultimately even though legal ownership rests with some other person. These persons may have significant influence over it or hold substantial interest therein as owners. Identifying who qualifies as a beneficial owner is a critical first step in complying with BOI reporting requirements. To be a beneficial owner, one must meet at least one of the following:

  1. Has direct or indirect ownership of 25% or more of the entity’s equity interests
  2. Directly or indirectly exercises significant control over the entity

It should be noted that beneficial ownership can involve complicated ownership structures; therefore entities should conduct thorough assessments of their organizational structure and holdings.

Beneficial Ownership Information Reporting

The BOI (Beneficial Ownership Information) Report is a memo or document that every small and medium-sized business (exemption applicable) has to file with the Financial Crimes Enforcement Network (FinCEN). In New Jersey, any LLC that is eligible to enlist under the reporting company must file the BOI Report within the given period.

It is not only mandatory for all businesses in New Jersey but also can lead to heavy monetary penalties along with imprisonment. There are many reasons why the Corporate Transparency Act was started and BOI Report filing becomes mandatory for all businesses in New Jersey.

BOI Reporting Companies (Entities) in New Jersey

Not every company, located in New Jersey, is required to file BOI reports with FinCEN. Only the eligible companies (Reporting Companies) are liable to file the BOI report. Following are the requirements for BOI reporting,

Entities Required to Report

There are certain entities that are considered “Reporting Companies” as per the Corporate Transparency Act and must report beneficial ownership information. Normally, these include:

Exempted Entities

However, it is important to note that there are certain entities in New Jersey that do not have BOI reporting requirements such as;

corporate-act
  • Sole proprietorships or any business structure that does not require registration under New Jersey SOS.
  • Large entities (more than 20 employees with $5M revenue)
  • Tax-exempt organizations
  • Inactive entities meeting specific criteria
  • Subsidiaries of exempt entities
  • Complex ownership that is not publicly known

For PLLCs, selected types of companies get to file BOI reports. Small PLLCs that do not meet the eligibility of reporting companies are exempted from filing BOIR. Besides, PLLCs that are already under stringent regulatory authority like the medical or law field, might get an exemption too.

List of Entities Exempted from BOI Reporting According to FinCEN

  • Securities reporting issuer
  • Governmental authority
  • Bank
  • Credit union
  • Depository institution holding company
  • Money services business
  • Broker or dealer in securities
  • Securities exchange or clearing agency
  • Other Exchange Act registered entity
  • Investment companies or investment advisers
  • Venture capital fund adviser
  • Insurance company
  • State-licensed insurance producer
  • Commodity Exchange Act registered entity
  • Accounting firm
  • Public utility
  • Financial market utility
  • Pooled investment vehicle
  • Tax-exempt entity
  • Entity assisting a tax-exempt entity
  • Large operating company
  • Subsidiary of certain exempt entities
  • Inactive entity

Entities should review their classification carefully in order to ascertain if they fall under the requirement for reporting or qualify for an exemption. It is recommended to consult an expert before you start filing your BOI Report. Also, not only the above-mentioned sectors but also the size and structure of the business matters when it comes to filing the report. Hence, it is important to consult an expert beforehand.

How to File a BOI Report in New Jersey?

In New Jersey, you can file your BOI report in two ways. The report can be filed online or offline. The process is pretty simple. There is an online and offline (PDF) form available. The reporting company in New Jersey has to fill up the form and submit it within the given time. Here are the steps to file the BOIR in New Jersey

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Online BOI Report Filing in New Jersey

  1. Step 1: For online filing, reporting companies in New Jersey are required to visit the FinCEN BOIR e-filing page.
  2. Step 2: The first page shows 4 options, Initial Report, Correct Prior Report, Update Prior Report, and Newly Exempt Entity.
  3. Step 3: For the fresh filing, select Initial Report and click NEXT.
  4. Step 4: On the next page, fill out the form for Reporting Company and ask for FinCEN ID.
  5. Step 5: The ‘Company Applicant’ page comes up next. Add the details wherever is required.
  6. Step 6: The next page shows the details of the Beneficial Owner(s). Also, mention if there is an exemption.
  7. Step 7: Submit the online form after sharing your name and email on the final page.
BOI reporting e-filing

Offline BOI Report Filing in New Jersey

  • Step 1: For offline filing, visit the FinCEN BOI Report filing page
  • Step 2: Download the PDF form from the ‘Prepare BOIR’ option
  • Step 3: The PDF form requires Adobe Reader 8 or higher, make sure you have this version installed on your device.
  • Step 4: Save the form on your device.
  • Step 5: Fill it up with the correct information. Make sure to select the ‘Initial Report’ if you’re filing it afresh. For correction or updating the previous form, select the other options.
  • Step 6: Once filled up, upload the form on the site by clicking on ‘Submit BOIR’.
  • Step 7: On the Submit page, you will have to provide your name and email. Click on the ‘upload document’ section to upload the PDF form and submit it.
BOI offline filing

Reporting Process and Timeline

BOI Reporting effectively becomes mandatory from January 1, 2024, in New Jersey and the rest of the United States. All the LLCs in New Jersey, Corporations, and other types of businesses registered under New Jersey Secretary of State will have to file the report within the given time.

  • Entities in New Jersey incorporated or registered before January 1, 2024, will have to file their BOI report before January 1, 2025.
  • Entities in New Jersey incorporated or registered on or after January 1, 2024, will have to file their BOI report within 90 working days from the date of completion of company registration with New Jersey SOS or similar authority.
  • Entities in New Jersey incorporated or registered on or after January 1, 2025, will have to file their BOI report within 30 working days from the date of completion of company registration with New Jersey SOS or similar authority.

Penalties for Non-Compliance with CTA (BOI Report Filing)

The authority decides to make it more difficult for the companies that fail to comply with the Corporate Transparency Act or BOI report filing. Following are the monetary and other penalties for non-compliance,

  • The Civil Penalty for missing the deadline in New Jersey is $500 a day for the company
  • The Criminal Penalty for not filing the BOI Report in New Jersey is $10,000
  • Continuing violating rules and non-compliance in New Jersey can lead to 2 years imprisonment

The FinCEN makes sure that every reporting company must file the BOI report as soon as they meet the eligibility criteria. The penalty is heavy, especially for small businesses in New Jersey.

BOI Reporting Required Information in New Jersey

The Beneficiary Ownership Information consists of some confidential information about the LLC owners in New Jersey. The compulsory information to be given in respect of each beneficial owner includes:

business requirement
  • Reporting Company legal name
  • Alternative or DBA Name (if any)
  • Tax Identification type
  • Country/Jurisdiction of Formation
  • Address (number, street, and apt. or suite no.)
  • Individual’s Full Legal Name
  • Date of birth
  • Current Address
  • Identifying document (Type, Number, Issuing Jurisdiction, Image)
  • Beneficial Owner Details (Legal Name, FinCEN ID, Address, DOB)

Entitles should confirm that the information given is correct and up-to-date as any inconsistencies or inaccuracies may attract penalties.

Ensuring their BOI reports are accurate and updated is a responsibility that these bodies have. Disputes or concealed information, therefore, need to be attended to quickly and openly as this is essential in compliance maintenance. Should organizations fail to do this, they may invite increased scrutiny with possible penalties imposed against them.

Privacy and Data Security

While the requirements for BOI reporting in New Jersey aim at increasing transparency levels, there are practical challenges faced by entities regarding the identification and disclosure of beneficial ownership information. These may include:

  • Complexity in identifying beneficial ownership for entities with intricate ownership structures or multi-layered holding companies.
  • Difficulties in obtaining accurate and up-to-date information from beneficial owners, particularly where ownership interests are held indirectly or via intermediaries.
  • This places an additional burden on small businesses which will find it hard to deploy enough resources and personnel to deal with compliance matters.

Entities can overcome these hurdles through engagement of professionals’ advice; and having internal mechanisms that strengthen their capacity to communicate with their beneficiaries.

Regulatory and Legal Considerations

In addition to the issues above, entities in New Jersey must also navigate numerous regulatory and legal considerations when reporting BOI. These include:

  • Balancing transparency with legitimate privacy concerns, especially for individuals who may be exposed to personal safety risks or other sensitive situations.
  • Addressing international implications and cross-border ownership structures since BOI reporting requirements can vary across jurisdictions.
  • Compliance with other relevant legislations such as anti-money laundering (AML) laws and know-your-customer (KYC) regulations is necessary as well.

What helps entities address these concerns is consulting the legal fraternity on changes occurring within the regulatory space.

Anticipated Changes and Updates

With time, FinCEN together with other relevant agencies will provide further guidance on complying with these reporting requirements as financial crime evolves. For instance, new changes could affect how they comply with these requirements. Additionally, in the future, there is a possibility of expanding or modifying the reporting requirements to deal with emerging issues or any possible loopholes.

Impact on Businesses and Financial Sector in New Jersey

The introduction of BOI reporting requirements will have profound effects on both corporate entities and the financial sector as a whole. Likely consequences could include:

  • Increased administrative burdens and compliance costs for firms, especially at the early stages of implementation.
  • Enhanced due diligence procedures by financial institutions to verify the accuracy of BOI reports and identify potential red flags.
  • Business practices may change leading to ownership structures that are more flexible to fit into new transparency needs.
  • Entities that have complex ownership arrangements or those operating internationally may face some difficulties.

Nonetheless, in the long run, it can be expected that this law would go towards creating an environment where business is transparent and accountable thus enhancing trust and integrity within the financial system.

Significance of Reporting Beneficial Ownership Information

Reporting BOI is essential for several reasons. We have come up with three main reasons that CTA pointed out for having BOI reporting.

business
  • Preventing Illegal Activities: Identifying true owners helps to combat money laundering, terrorist financing, and other financial crimes in New Jersey since bad actors cannot hide behind complex corporate structures.
  • Enhancing Transparency: It ensures corporate transparency and accountability so that entities cannot operate under cover but are required to reveal who their beneficial owner(s) are.
  • Facilitating Law Enforcement: Accurate data on BOI allows law enforcement authorities to investigate and prosecute fraudulent activities better thus protecting a fair business environment.

Starting an LLC in New Jersey or forming a corporation in New Jersey can be an eyewash of hiding other shady activities or illegal businesses. Companies often create shell companies to money launder. This reporting was started to prevent such activities in New Jersey.

State Specific Data: New Jersey

Capital and Incorporation

  • The capital of New Jersey is Trenton.
  • The population of New Jersey: 9,438,124
  • The Annual GDP of New Jersey: 753,042
  • Incorporation in New Jersey can be done through various methods including online and offline. For more details, visit New Jersey Secretary of State.
  • Incorporation Method in New Jersey (Online): Create an account/Log in to the SOS site, get the online form, fill it, and submit online
  • Incorporation Method in New Jersey (Offline): Send the form by mail or drop it off in person at New Jersey Division of Revenue, P.O. Box 308, Trenton, NJ 08646.

Filing Fees

  • LLC Initial Filing Fee: $125 (by mail and online)
  • LLC Amendment Fees: $100
  • Annual Fee: $75
  • DBA Filing Fee: $50
  • Incorporation Fee: $125 for filing online, by mail, or in person
  • Registered Agent Change Fee: $25
  • Corporate Amendment Fee: $100.00

Important Offices

  • State Tax Office: New Jersey Division of Taxation
  • State Insurance Office: New Jersey Department of Banking and Insurance
  • Secretary of State Address: New Jersey Division of Revenue, P.O. Box 308, Trenton, NJ 08646
  • Department of Treasury: Department of the Treasury Internal Revenue Service Center – Kansas City, MO 64999 Fax: 855-887-7734​

Key Contacts

  • Form 2335 Mailing Address: Department of the Treasury Internal Revenue Service Center – Kansas City, MO 64999 Fax: 855-887-7734​
  • Filing Method for DBA: two methods, by mail and in person.
  • Filing Fee for DBA: $50
  • Online Filing for DBA: There is no online filing available
  • Offline Filing for DBA: For filing offline, you must send the accomplished DBA filing form to the County Clerk’s Office in the county where your business is located. Addresses vary by county.

By staying compliant with the BOI reporting requirements and leveraging the resources available in New Jersey, businesses can ensure they meet all regulatory obligations efficiently.

FAQs

How do I file a bias incident report in New Jersey?
You can file a bias incident report in New Jersey by contacting the New Jersey Division on Civil Rights.
What qualifies as a bias incident in New Jersey?
In New Jersey, a bias incident is any suspected act of harassment, intimidation, or bullying motivated by prejudice against an individual’s race, religion, sexual orientation, or other protected characteristic.
Is there a time limit for filing a bias incident report in New Jersey?
There is no specific time limit for filing a bias incident report in New Jersey, but it is recommended to do so as soon as possible after the incident occurs.
Can I file a bias incident report anonymously in New Jersey?
Yes, you can file a bias incident report anonymously in New Jersey. However, providing your contact information can help investigators follow up on the report.
How can I track the status of my bias incident report in New Jersey?
You can track the status of your bias incident report in New Jersey by contacting the agency or organization where you filed the report.
Are bias incident reports in New Jersey kept confidential?
Yes, bias incident reports in New Jersey are kept confidential to protect the privacy of the individuals involved.
What happens after I file a bias incident report in New Jersey?
After you file a bias incident report in New Jersey, the appropriate agencies will investigate the incident and take any necessary actions to address the issue.
Can I file a bias incident report on behalf of someone else in New Jersey?
Yes, you can file a bias incident report on behalf of someone else in New Jersey with their consent.
How long does it take to process a bias incident report in New Jersey?
The processing time for a bias incident report in New Jersey can vary depending on the complexity of the case and the availability of witnesses and evidence.
Is there a fee for filing a bias incident report in New Jersey?
There is no fee for filing a bias incident report in New Jersey. It is a free and confidential process.
Can I file a bias incident report online in New Jersey?
Yes, many agencies in New Jersey offer online forms for filing bias incident reports for convenience.
How do I know if my bias incident report has been received in New Jersey?
If you file a bias incident report online in New Jersey, you will typically receive a confirmation email or reference number to verify that your report has been received.
What should I do if I witness a bias incident in New Jersey?
If you witness a bias incident in New Jersey, you should report it to the appropriate authorities or encourage the victim to file a report.
Can I file a bias incident report for discrimination in the workplace in New Jersey?
Yes, you can file a bias incident report for discrimination in the workplace in New Jersey through the New Jersey Division on Civil Rights.
How do I file a bias incident report if I do not speak English in New Jersey?
The New Jersey Division on Civil Rights provides interpretation services for individuals who do not speak English when filing a bias incident report.
What should I do if I am not satisfied with the outcome of my bias incident report in New Jersey?
If you are not satisfied with the outcome of your bias incident report in New Jersey, you can appeal the decision or seek further assistance from legal resources.
Can I file a bias incident report for online harassment in New Jersey?
Yes, you can file a bias incident report for online harassment in New Jersey. This includes cyberbullying and social media harassment.
What protections are in place for victims who file bias incident reports in New Jersey?
Victims who file bias incident reports in New Jersey are protected from retaliation and discrimination under state law.
Are bias incident reports in New Jersey public record?
Bias incident reports in New Jersey are not typically public record to protect the privacy of the individuals involved.
Can I file a bias incident report if I am a minor in New Jersey?
Yes, minors can file bias incident reports in New Jersey with the help of a parent or guardian.
Can I file a bias incident report for incidents that occurred outside of New Jersey?
The New Jersey Division on Civil Rights only has jurisdiction over bias incidents that occur within the state of New Jersey.
Are bias incident reports in New Jersey treated as criminal complaints?
Bias incident reports in New Jersey are not criminal complaints, but the information provided may be used in legal proceedings if necessary.
What evidence should I include in my bias incident report in New Jersey?
You should include any relevant evidence, such as photos, videos, or witness statements, in your bias incident report in New Jersey to support your case.
Can I file a bias incident report for a hate crime in New Jersey?
For incidents that involve criminal activity or hate crimes, you should contact local law enforcement in addition to filing a bias incident report in New Jersey.
Can I file a bias incident report for discrimination in housing in New Jersey?
Yes, you can file a bias incident report for discrimination in housing in New Jersey through the New Jersey Division on Civil Rights.
Can I file a bias incident report for discrimination in public accommodations in New Jersey?
Yes, you can file a bias incident report for discrimination in public accommodations in New Jersey through the New Jersey Division on Civil Rights.
Can I file a bias incident report for discrimination in education in New Jersey?
Yes, you can file a bias incident report for discrimination in education in New Jersey through the New Jersey Division on Civil Rights.
Can I file a bias incident report for discrimination in employment in New Jersey?
Yes, you can file a bias incident report for discrimination in employment in New Jersey through the New Jersey Division on Civil Rights.
How can I get more information about filing a bias incident report in New Jersey?
You can visit the New Jersey Division on Civil Rights website or contact their office directly for more information about filing a bias incident report.
How do I file a boi report in New Jersey?
To file a boi report in New Jersey, you will need to complete and submit the necessary forms provided by the NJ Division of Taxation.
Where can I find the forms to file a boi report in New Jersey?
The forms to file a boi report in New Jersey can be found on the NJ Division of Taxation’s website.
Is there a deadline for filing a boi report in New Jersey?
Yes, the deadline for filing a boi report in New Jersey is typically March 15th of each year.
What information do I need to include in my boi report for New Jersey?
You will need to include information about your business activities and earnings in New Jersey, as well as any applicable deductions or exemptions.
Can I file my boi report for New Jersey online?
Yes, you can file your boi report for New Jersey online through the NJ Division of Taxation’s website.
How do I pay the taxes owed on my boi report in New Jersey?
You can pay the taxes owed on your boi report in New Jersey using the NJ Division of Taxation’s online payment system.
What do I do if I need an extension to file my boi report in New Jersey?
If you need an extension to file your boi report in New Jersey, you must submit a written request to the NJ Division of Taxation before the original deadline.
Will I be penalized for filing my boi report late in New Jersey?
Yes, if you file your boi report late in New Jersey, you may be subject to penalties and interest charges.
Can I file an amended boi report in New Jersey?
Yes, you can file an amended boi report in New Jersey if you need to make corrections or updates to your original filing.
What should I do if I receive a notice from the NJ Division of Taxation regarding my boi report?
If you receive a notice from the NJ Division of Taxation regarding your boi report, follow the instructions provided in the notice to address any issues or discrepancies.
Do I need to file a boi report in New Jersey if my business is based in another state?
Yes, if your business conducts activities in New Jersey, you must file a boi report with the NJ Division of Taxation.
What are the consequences of not filing a boi report in New Jersey?
If you fail to file a boi report in New Jersey, you may face penalties, fines, and legal action by the NJ Division of Taxation.
Can I request a waiver of the boi report filing requirement in New Jersey?
It is possible to request a waiver of the boi report filing requirement in New Jersey under certain circumstances, but this request must be approved by the NJ Division of Taxation.
What documents do I need to gather before filing a boi report in New Jersey?
Before filing a boi report in New Jersey, you will need to gather financial records, business income statements, payroll information, and any other relevant documentation.
What qualifies as “business income” for the purposes of filing a boi report in New Jersey?
Business income for the purposes of filing a boi report in New Jersey typically includes revenue generated from the sale of goods or services, interest, dividends, rents, royalties, and other sources.
Can I deduct business expenses from my income when filing a boi report in New Jersey?
Yes, you can deduct certain business expenses from your income when filing a boi report in New Jersey, including costs related to supplies, utilities, rent, payroll, and more.
Are there any tax credits available for businesses filing boi reports in New Jersey?
Yes, there are various tax credits available for businesses filing boi reports in New Jersey, including credits for job creation, research and development, and more.
How can I check the status of my boi report filing in New Jersey?
You can check the status of your boi report filing in New Jersey by logging into your account on the NJ Division of Taxation’s website or contacting their customer service.
What is the minimum income threshold for filing a boi report in New Jersey?
The minimum income threshold for filing a boi report in New Jersey varies depending on the type of business entity and its activities in the state.
Can I file a combined boi report for multiple businesses or entities in New Jersey?
Yes, if you have multiple businesses or entities operating in New Jersey, you may be able to file a combined boi report, but you should consult with a tax professional for guidance.
Do non-profit organizations need to file boi reports in New Jersey?
Yes, non-profit organizations are still required to file boi reports in New Jersey if they generate business income or conduct activities that are subject to taxation.
How can I obtain assistance with filing my boi report in New Jersey?
If you need assistance with filing your boi report in New Jersey, you can contact the NJ Division of Taxation’s customer service line or consult with a tax professional for guidance.
Can I file a boi report for a small business in New Jersey without a tax professional?
Yes, you can file a boi report for a small business in New Jersey without a tax professional, but it is recommended to seek assistance if you are unsure about any aspects of the filing process.
Is New Jersey’s boi report filing process different from other states?
Yes, New Jersey’s boi report filing process may differ from other states in terms of deadlines, forms, requirements, and tax rates, so it is important to familiarize yourself with the specific regulations in NJ.
Can I file a boi report in New Jersey if I am a sole proprietor?
Yes, as a sole proprietor running a business in New Jersey, you are required to file a boi report with the NJ Division of Taxation.
What should I do if my business income fluctuates throughout the year in New Jersey?
If your business income fluctuates throughout the year in New Jersey, you should consider estimating your income based on previous trends and adjusting your boi report accordingly.
Can I file my boi report for New Jersey by mail?
Yes, you can file your boi report for New Jersey by mail, but submitting it online is generally faster and more convenient.

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In Conclusion

In the world of business, conducting illicit monetary transactions is not a new thing. To prevent that the Corporate Transparency Act came into the picture. Businesses in New Jersey, especially, small and medium businesses must file the Business Ownership Information Report to combat growing financial crimes. In New Jersey, the companies must understand the obligations to comply with the rules.

In New Jersey, before you start filing the BOI Report, there are a few important points to note. Important points worth noting are:

  • Identifying beneficial owners from their control or ownership interests over the entity.
  • Reporting accurate information at all times including names, dates of birth, addresses, and identification details about beneficiaries.
  • Timely filing of the initial reports and updating the reports in case of changes.
  • When required, involve reputable third-party service providers to assist in the filing process.
  • Ensure compliance with relevant penalties for non –compliance.
  • Deal with practical challenges and legal issues related to BOI reporting.
  • Keep abreast of future developments and advice from relevant bodies.

Filing the BOI Report does not require complicated steps, however, it definitely requires an expert to proceed. We recommend TailorBrands, one of the best LLC formation services that not only offers free LLC formation but also offers BOI Reporting at a very reasonable cost.

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