UPDATE: Ruling on Corporate Transparency Act Impacts Reporting Requirements

The U.S. District Court for the Eastern District of Texas has issued a nationwide preliminary injunction temporarily blocking enforcement of the Corporate Transparency Act (“CTA”). As a result of this injunction, the beneficial ownership information (“BOI”) requirements under the CTA have been halted.

Entities previously required to file beneficial ownership information with the Financial Crimes Enforcement Network (FinCEN) are not currently obligated to do so, and need not comply with the January 1, 2025 reporting deadline previously issued. However, this suspension is temporary and is subject to further legal proceedings.

To ensure preparedness, we recommend that all entities continue to maintain accurate records of their beneficial ownership and prepare to comply with the CTA’s reporting requirements should enforcement resume.

For more information, please visit the FinCEN page at https://www.fincen.gov/boi.

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