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Beneficial Ownership Reporting

nytcpa2012
Level 4

Is there a threshold for very small LLC's and corporations to avoid having to file this report? Seems like quite a burden on very small entities, and looks like a lot that should be reporting are exempt!

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IRonMaN
Level 15

Size doesn’t matter


Slava Ukraini!

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9 Comments 9
IRonMaN
Level 15

Size doesn’t matter


Slava Ukraini!
nytcpa2012
Level 4

LOL

sjrcpa
Level 15

Actually it does. If your revenue is over $5 million (I think), you're exempt.

The more I know, the more I don't know.
IRonMaN
Level 15

But since we were talking about being too small I didn't go the too big route.


Slava Ukraini!
Just-Lisa-Now-
Level 15
Level 15

Ive seen lots of tax pros in other groups saying it was quick and painless to do, Im not sure its going to be as much of a burden for people as it sounds.  


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
sjrcpa
Level 15

@Just-Lisa-Now- I think it depends on the ownership. If you and I own an LLC it's easy.

If there is a tiered LLC, it may be hard to determine who the owners are and get the required info, etc. And that determination could be UPL. Sometimes that's why they're tiered - to mask the true ownership.

The more I know, the more I don't know.
BobKamman
Level 15

L. 2. What are the criteria for the inactive entity exemption from the beneficial ownership information reporting requirement?

An entity qualifies for the inactive entity exemption if all six of the following criteria apply:

nytcpa2012
Level 4

hence, why this information is being required in the first place; it just seems like there are a LOT of entities in the exempt group that would be able to mask their ownership as well. Do those types that are exempt report this information in some other way that is already shared with the Dept of the Treasury?

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Just-Lisa-Now-
Level 15
Level 15

@sjrcpa wrote:

@Just-Lisa-Now- I think it depends on the ownership. If you and I own an LLC it's easy.

If there is a tiered LLC, it may be hard to determine who the owners are and get the required info, etc. And that determination could be UPL. Sometimes that's why they're tiered - to mask the true ownership.


Ahh, ok, I hadnt considered that.  And yes, thats probably the purpose for this all along, to see who's actually hiding in all these tiered companies and the little people got caught up in the hullabaloo.


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪