Court blocks enforcement of Corporate Transparency Act

As you might recall, Hershner Hunter Attorneys sent an email about the federal Corporate Transparency Act (the “CTA”).  The CTA created a new reporting requirement for most small businesses, starting in 2024.  The deadline for this report (known as a “Beneficial Ownership Information” or “BOI” report) for existing businesses was December 31, 2024.

On December 3, 2024, a federal judge issued a preliminary injunction blocking enforcement of the CTA.  As a result of the injunction, companies are not required to file a BOI report at this time.  This decision may be appealed by the government.  If the appeal is successful and the injunction is lifted, the reporting obligation would resume.

FinCEN is still accepting BOI reports, so if you prefer to not wait for this litigation to be firmly decided, you can still file a BOI report at https://fincen.gov/boi, or if you would like our assistance with filing, we can connect you with a third-party service provider to help streamline the process.  If you have already filed a BOI report, then as of right now, you do not need to update that report when information about your business or its beneficial owners change, but you can do so if you like.

If you have additional questions or concerns, please contact your attorney.