The Update
On December 26, 2024, the United States Court of Appeals vacated their stay on the preliminary injunction regarding the Corporate Transparency Act (CTA) BOI filing requirements.
What does this mean?
- The preliminary injunction is now back in effect, meaning the government currently cannot enforce penalties for noncompliance with the CTA.
- This is not a final judgment. It ensures the “constitutional status quo” remains in place while the court further reviews the case and considers its substantive arguments.
- The appeal is on an expedited schedule, but the dates of the arguments have yet to be confirmed.
- We are awaiting additional guidance from FinCEN.
What Actions Should You Take?
Although filing is again not required at this time, our recommendation remains the same—be prepared to file your BOI reports as the situation may change quickly if the government wins the appeal or if there is another reversal. You also have the option to voluntarily file your reports if you desire.
What if you already filed?
If you have already filed, the BOI report there is nothing more you need to do at the moment. If there are changes in the information filed, you should keep track of those changes and be ready to file updated reports if the requirements are reinstated.
Important Reminder on Filing Fees
We’ve heard from some clients who have mistakenly ended up on what appear to be “official” websites charging fees (up to $350 per entity), only to realize these are not directly affiliated with the government. Please note that BOI filing can be done free of charge on the official FinCEN website (fincen.gov).
If you have multiple entities and prefer to use a filing service, please feel free to reach out to us—we can connect you with trusted contacts.
We will continue to keep you educated as this case and others develop. If you have any questions or would like to discuss how this might impact you or your organization, don’t hesitate to reach out. As with anything BOI related you should also consult with your legal advisors to assess your specific situation.
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