Pozdravljeni! If you are a business owner in Slovenia operating in the USA, you may be familiar with the challenges of navigating compliance and legal requirements in both countries. Understanding the beneficial ownership reporting obligations can be particularly complex, especially when it comes to ensuring transparency and accountability in your business operations. In this blog, we will explore the key considerations and best practices for meeting these requirements to ensure your business remains in good standing in both Slovenia and the USA.

Registration Requirements

The United States consists of 50 states and 5 territories, each with its own set of business regulations. To operate legally, businesses must adhere to both state-specific rules and federal laws.

State-Level Registration:

When establishing a business presence in the United States, businesses from Slovenia must complete state-level registration in any state where significant business activities occur. This requirement typically applies if your company:

• Has a physical presence in the state
• Frequently meets with clients in the state
• Derives a significant portion of revenue from the state
• Has employees working in the state

Incorporating your Slovenian Company in the US

Even if none of the specific criteria apply, a Slovenian company must still choose a home state for registration when conducting business in the US. This involves forming a U.S. entity, such as a corporation, LLC, or other business structure, in that state. This registration ensures that the company is officially recognized and compliant with US regulations, regardless of its level of business activity in any individual state.

The newly formed U.S. entity will operate as a subsidiary of the foreign company. This means that while the U.S. entity is legally independent, it remains under the ownership and control of the parent company based in Slovenia. This structure allows the company to conduct business in the US while maintaining its international headquarters.

We recommend using Northwest Registered Agent if your foreign company needs to incorporate. They offer expert guidance and can serve as a reliable registered agent for your business, ensuring compliance and smooth operations.

Federal Requirements

In addition to state requirements, Slovenian companies must also comply with federal regulations:

• Federal Tax ID: Obtain an Employer Identification Number (EIN) from the IRS. This number is essential for tax reporting and opening U.S. bank accounts.
• Industry Regulations: Companies may need to follow specific federal regulations depending on the industry. For example:
• Import/Export Laws: If the company is involved in importing or exporting goods, it must meet U.S. customs regulations. This includes adhering to rules for tariffs, duties, and necessary documentation.

Beneficial Ownership Information Reporting Requirements

For Slovenian businesses conducting operations in the U.S., adhering to Beneficial Ownership Information Reporting (BOIR) requirements is crucial. The Corporate Transparency Act mandates that companies disclose the individuals who own or control them. This applies to most entities, including those that are incorporated or registered in any U.S. state. The goal is to enhance transparency and combat illicit activities such as money laundering and terrorism financing.

A beneficial owner is an individual who controls the company or owns 25% or more of its shares, either directly or indirectly. For compliance with BOIR requirements, businesses must report information about these individuals, including their names, addresses, and identification details. Failure to file this report can result in significant penalties and legal consequences. Therefore, companies from Slovenia need to ensure they meet these reporting obligations promptly and accurately.

For your convenience, you can file your Beneficial Ownership Information Report directly on our website. Click here to complete the process in just a few minutes and ensure your business complies with U.S. regulations.

Additional Considerations for Slovenian Businesses:

Tax Treaties

The tax treaty between the United States and Slovenia offers significant advantages for Slovenian businesses operating in the USA. This agreement helps prevent double taxation and provides clarity on tax obligations for companies engaged in cross-border activities. By establishing clear guidelines for income taxation, the treaty promotes smoother business operations and reduces potential tax-related complications. For more detailed information about the specific provisions and benefits of this tax treaty, click here to access the official IRS documents.

Trade Considerations

As a Slovenian business looking to engage in trade with the USA, it’s crucial to be aware of the current trade agreements and regulations. Slovenia, as a member of the European Union, benefits from the EU-US trade relationship. While there is no specific free trade agreement between the EU and the US, both parties operate under World Trade Organization (WTO) rules. However, it’s essential to stay informed about ongoing negotiations and potential changes in trade policies. Additionally, depending on your industry, there may be specific regulations, tariffs, or quotas that apply to your products or services. It’s advisable to consult with trade experts or legal professionals familiar with both Slovenian and US trade laws to ensure compliance with all relevant regulations, including customs procedures, product standards, and certification requirements. Regularly checking the websites of the US International Trade Administration and the Slovenian Ministry of Economic Development and Technology can provide valuable updates on trade policies and opportunities.

Your Path to Compliance: Key Takeaways for Slovenian Businesses in the U.S.

Operating a Slovenian business within the USA requires careful attention to legal obligations, from establishing your home state to incorporating and filing a beneficial ownership report. Meeting these requirements is essential for ensuring compliance and securing your business’s success in the American market. By understanding and adhering to these steps, you can confidently navigate the complexities of doing business in the U.S. and focus on growing your enterprise.

Ready to get started? Click here to file your BOIR in just a few short minutes. We make the process easy, fast, and secure so you can focus on what matters—your business.