A NOTE FROM LETICIA
As the compliance manager here at Parasec, I spend a fair amount of time thinking about annual report compliance and how we can make the process easier for our clients. After all, filing an annual report is mandatory for many entities in most states (in some states it’s a biennial report). The information requested on the annual/biennial report forms differs from state to state, as do the rules, deadlines and fees. The process can be complex and time consuming—especially if you are managing multiple entities in more than one state.
So, what happens if you fail to file your report on time? Well, missing an annual report deadline may result in a company being placed in bad standing with a state. That’s not good. Once an entity is placed in bad standing, you could potentially face penalty and reinstatement fees. This could result in a lot of time and money spent to bring the entity back in good standing status. Needless to say, filing an annual report in a timely manner is a very important step most entities must take.
How can we help? Well, our Managed Annual Report Service (MARS) is a program that can help ensure an entity’s annual report is filed on time—so good standing status is maintained. During the enrollment stage, our team will review your entity to ensure you are in good standing. If your entity is listed in bad standing, Parasec will assist with bringing your entity back into good standing. Our team will then monitor state filing deadlines, collect pertinent information in order to file on your behalf, and forward proof of filing to you for your records. We will also maintain a copy of the filed report in our records that you will have 24-hour access to through our online portal.
Our MARS program was designed to help centralize annual report compliance and ensure that you don’t miss a deadline. The goal was to create a service that allows you to focus on the day-to-day activities of your business rather than tackle this cumbersome task. Email us at email@example.com for more information.
Oregon: Misleading Annual Report Notices
The Oregon Secretary of State has issued a warning to consumers regarding misleading annual report notices being mailed out by a private company called Workplace Compliance Services (W.C.S.) or C.P.S. While the notices may look official, the company is not authorized by or affiliated with the Oregon Secretary of State. According to the state’s notice, the Attorneys for Workplace Compliance Services (W.C.S.) have offered to refund any fees paid over and above the required state fee to any business that is not completely satisfied with the service or who feels they were misled by the mailing. To request a refund, send an email to firstname.lastname@example.org. Further questions can be directed to the Oregon Secretary of State’s Corporations Division at email@example.com.
Federal: Corporate Transparency Act
The Corporate Transparency Act (CTA)—part of the National Defense Authorization Act for Fiscal Year 2021—requires corporations, LLCs, or similar entities to make a filing with Financial Crimes Enforcement Network (FinCEN) to identify its beneficial owner/owners (the individual natural persons who own or control the companies). The Secretary of the Treasury is required to promulgate rules to implement the CTA by December 31, 2021. On April 1, 2021, FinCEN issued an Advance Notice of Proposed Rulemaking to solicit public comment on a wide range of questions related to the implementation of the beneficial ownership information reporting provisions of the CTA. FinCEN strongly encourages all interested parties, particularly those that would be affected by the beneficial ownership information reporting provisions or would seek access to reported beneficial ownership information, to submit written comments. Comments can be submitted online here. The deadline to submit a written comment is May 5, 2021.
US State Department: Office of Authentication Delays
We continue to experience heavy delays when it comes to work processed by the US State Department. They are currently taking around 13 weeks to return documents to us. Official notice of these delays can be found online here. Furthermore, if the documents need to be submitted to the Embassy of China, there may likely be additional delays. Once documents are ready for submission, the Embassy of China is only accepting emergency requests by appointment. Parasec can only secure the appointment by providing a detailed explanation for the rush on the project, including due dates in China. To help prevent any further delays, we would recommend that you include this information when you place your order. For more information, our apostille team can be reached at firstname.lastname@example.org.
Various States: Annual/Biennial Report Due Dates
The states listed below have annual reports due in the coming months. Don’t miss a deadline or you may be subject to hefty penalties and reinstatement fees. For assistance maintaining your annual report compliance, inquire about our managed annual report services. Email us at email@example.com for more information.
April 1 – DC: All entity types (biennial report); GA: All entity types; NE: Non-profits & LLCs; NH: Corporations & LLCs; ND: LPs
April 15 – MD: All entity types; MS: Corporations & LLCs; MT: All entity types; NC: Corporations & LLCs
May 1 – AR: Corporations, LLCs & LPs; FL: All entity types
May 15 – MI: Corporations; ND: Foreign corporations
June 1 – DE: LLCs (Franchise Tax payments) & LPs; ME: All entity types
June 1 – DE: Foreign corporations; KY: Corporations, Non-profits & LLCs; RI: Non-profits