If a person willfully fails to report complete or updated information, as required under the reporting rule, FinCEN will determine the appropriate enforcement response.
Potential penalties for failure to comply with beneficial ownership reporting obligations could result in civil and criminal penalties, including fines of $10,000, penalties of $591 per day, and/or up to 2 years imprisonment.
As specified in the Corporate Transparency Act, a person who willfully violates the BOI reporting requirements may be subject to civil penalties of up to $500 for each day that the violation continues. However, this civil penalty amount is adjusted annually for inflation. As of the time of publication of this FAQ, this amount is $591.
A person who willfully violates the BOI reporting requirements may also be subject to criminal penalties of up to two years imprisonment and a fine of up to $10,000. Potential violations include willfully failing to file a beneficial ownership information report, willfully filing false beneficial ownership information, or willfully failing to correct or update previously reported beneficial ownership information.
Both individuals and corporate entities may be held liable for willful violations.