In many geomechanics applications, material boundaries are subjected to large displacements and deformation. Under these circumstances, the application of boundary conditions using particle methods, such as the material point method (MPM), becomes a challenging task since material boundaries do not coincide with the background mesh. This paper presents a formulation of penalty augmentation to impose nonhomogeneous, nonconforming Dirichlet boundary conditions in implicit MPM. The penalty augmentation is implemented utilizing boundary particles, which can move either according to or independently from the material deformation. Furthermore, releasing contact boundary condition, as well as the capability to accommodate slip boundaries, is introduced in the current work. The accuracy of the proposed method is assessed in both 2D and 3D cases, by convergence analysis reaching the analytical solution and by comparing the results of nonconforming and classical grid-conforming simulations.