Nationwide Halt on BOI Reporting Requirements Following Legal Challenge

A recent federal court decision has temporarily blocked the enforcement of the Corporate Transparency Act (CTA), a law requiring businesses to report detailed ownership information to FinCEN. The Eastern District of Texas issued a preliminary injunction following a lawsuit by the National Federation of Independent Business, deeming the CTA likely unconstitutional. In response, FinCEN announced that businesses are not required to file Beneficial Ownership Information (BOI) reports during the injunction but may do so voluntarily. The government has appealed the ruling, leaving the future of the CTA uncertain. This decision offers temporary relief for businesses, many of which were slow to comply due to the law’s complexity and steep penalties.

If you would like to read more, please visit:
https://www.forbes.com/sites/kellyphillipserb/2024/12/06/fincen-says-corporate-transparency-act-cta-reports-are-voluntary-following-court-decision/