Effective January 1, 2024, many companies in the United States must report information about their beneficial owners—the individuals who ultimately own or control the company—to the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury.
Entities, including LLCs, partnerships, corporations, etc., both domestic and foreign, may be subject to this new reporting obligation. It can get complicated with multi-tier ownership structures.
On December 3, 2024, a federal district court has issued an order halting the enforcement of the Corporate Transparency Act (CTA) and its accompanying regulations on beneficial ownership information (BOI) reporting. The court ruled that the CTA is likely unconstitutional [Texas Top Cop Shop, Inc. v. Garland, No. 4:24-CV-478 (E.D. Texas, Dec. 3, 2024)]. Under the injunction, enforcement of the CTA and the BOI reporting rule is barred. As a result, reporting companies are not required to comply with the CTA's January 1, 2025, BOI reporting deadline until further direction is issued by the court.
Ready to submit the BOI report should the injunction be lifted.
Here is a list of what we can assist with, potential penalties, & potential groups subject to CTA reporting.