Corporate Transparency Act January filing update
For your current projects: Still not required, but optional
An update for our developers on the ping-pong of the Corporate Transparency Act.
You may have seen that yesterday, January 23rd, the US Supreme Court put a stay on one federal court injunction of enforcement of the CTA. A separate federal court order delaying compliance remains in place, until the constitutionality of the CTA is determined by the court.
The Department of Treasury's Financial Crimes Enforcement Network (FinCEN) has now posted this online to confirm that filing the Beneficial Owner Information Report (BOIR) is still voluntary:
From FinCEN: 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.
Further legal process is expected, but for now it is not necessary to complete the filing if you would like to wait for legal resolution. If you have already done so, you have taken the responsible steps that were asked of you. If compliance requirements are reinstated or modified, we will let you know in time to meet new deadlines.
If you would like to go ahead and complete your filing regardless of the injunction, we can help, or provide you the instructions how to do it yourself, likely at the lowest filing cost you will see. Contact us if you would like to proceed, and we'll get you the details.
