Are you a child care business owner? A crucial update has emerged regarding Beneficial Ownership Information (BOI) reporting, and understanding the new deadlines is vital for compliance.

What You Need to Know

In May 2024, Early Childhood Business Solutions provided insights through our resource, “Understanding the Corporate Transparency Act: A Guide for Child Care Providers,” to help navigate BOI reporting as mandated by the Corporate Transparency Act (CTA). Since then, reporting requirements have faced delays due to federal court orders. However, an update from the federal courts on February 17, 2025, has lifted the injunction from Smith v. United States Department of the Treasury.

New Filing Deadlines

For child care business owners, this means a new filing deadline is now in effect. Businesses must complete their BOI reporting by March 21, 2025. Additionally, new businesses have 90 days from their formation date to file. It’s important to note that most child care businesses will be required to report.

Simplified Reporting Process

Reporting is straightforward, and there’s no need to pay for assistance. However, failure to file can result in steep fines—$591 per day, up to a maximum of $10,000. Such penalties could severely impact a small child care business. Therefore, it’s advisable to file as soon as possible.

Where to Learn More

To learn more about BOI reporting, file your report, track your submission, and confirm your business’s filing requirement, visit the OFFICIAL Beneficial Ownership Information Report page.

Need Assistance?

For additional resources or support, contact our Early Childhood Business Solutions Support Line at (602) 265-4768 or email us at [email protected].

Don’t Delay!

March 21, 2025, is fast approaching. Ensure your business remains compliant and avoid unnecessary fines by filing your BOI report on time.

Child Care Owners – Here are Key Tips for a Stress-Free Tax Season

Managing finances effectively is critical to ensuring the sustainability and growth of your child care business. Navigating the complex landscape of business expenses can be daunting, but with the right guidance and resources, you can optimize your financial strategies and maximize your tax benefits.

Tax season can be particularly stressful for child care owners, often leading to confusion about deductible expenses, potential audit triggers, and the advisability of taking deductions at all. Early Childhood Business Solutions (ECBS) recognizes these concerns and is committed to providing assistance.

We’ve partnered with Nayo Carter-Gray, CEO of 1^st Step Accounting, to clarify what expenses are deductible. Here are some key points she shared from a recent Business Speaker Series on the IRS rules for deductions:

• Ordinary and Necessary: The expenses must be essential to run your business.
• Directly Related to the Business: Only business-related expenses qualify.
• Properly Documented: Keep accurate records of all expenses.

For more detailed insights, watch this informative clip featuring Nayo Carter-Gray from our February Business Speaker Series.

If you’re eager to learn more, reach out to our ECBS Support Line. Connect with a Business Management Specialist who can provide additional tax strategies and support your business goals. Remember, all Early Childhood Business Solutions services are free for early childhood leaders.

Contact Us Today:

• Business Solutions Support Line: (602) 265-4768
• Email: [email protected]
• https://earlychildhoodbusinesssolutions.com/