Corporate Transparency Act (CTA) Reporting Requirements Reinstated

On December 26, 2024, the U.S. Court of Appeals for the Fifth Circuit issued a new order reinstating a nationwide injunction of the Corporate Transparency Act. This order bars enforcement of the Act while the law’s constitutionality is considered by the courts. While the order is in force, reporting companies are not required to file beneficial ownership information with the Financial Crimes Enforcement Network (FinCEN). This decision reverses the court’s previous December 23, 2024 order which stayed the preliminary injunction and reinstated the January 1, 2025 deadline for CTA filings. FinCEN then voluntarily extended the deadline to January 13, 2025. Even though the law is on hold, FinCEN has announced on their website that reporting companies may continue to voluntarily submit beneficial ownership information reports if they choose.

To learn more about the CTA or for assistance with getting your business in compliance, consult with an experienced attorney at Cline, Cline & Griffin.