CTA Update Jan 24 2024
BOI FILINGS ARE NOT REQUIRED (for now).
Following yesterday’s US Supreme Court ruling allowing the government to implement the Corporate Transparency Act (CTA), FINCEN has issued a statement, copied below. THE GIST IS: BOI FILINGS ARE NOT REQUIRED RIGHT NOW AND FILINGS ARE VOLUNTARY.
From FINCEN:
In light of a recent federal court order, reporting companies are not currently required to file beneficial ownership information with FinCEN and are not subject to liability if they fail to do so while the order remains in force. However, reporting companies may continue to voluntarily submit beneficial ownership information reports.
On January 23, 2025, the Supreme Court granted the government’s motion to stay a nationwide injunction issued by a federal judge in Texas (Texas Top Cop Shop, Inc. v. McHenry—formerly, Texas Top Cop Shop v. Garland). As a separate nationwide order issued by a different federal judge in Texas (Smith v. U.S. Department of the Treasury) still remains in place, reporting companies are not currently required to file beneficial ownership information with FinCEN despite the Supreme Court’s action in Texas Top Cop Shop. Reporting companies also are not subject to liability if they fail to file this information while the Smith order remains in force. However, reporting companies may continue to voluntarily submit beneficial ownership information reports.
Hoffman Law LLC will continue to keep you updated.
