Small business owners have been granted a preliminary injunction blocking the U.S. Department of Treasury from enforcing the Corporate Transparency Act’s (CTA) beneficial ownership information (BOI) reporting requirements. Read the full article here.
Disclaimer: This is NOT legal advice, just food for thought. If the CTA’s BOI filing is ruled constitutional, then the injunction will be lifted, and the people who haven’t complied may be in violation. Failure to file may incur steep fines. Any lawyer would say the conservative recommendation is to file before the deadline until the law is reversed or ruled upon to say otherwise. Here is a good video about this point.
We reported on this issue back in May 2024. To recap, unless your business qualifies for an exemption, many companies in the United States must report information about their beneficial owners to the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury. Beneficial owners are the individuals who ultimately own or control the company. Read our previous blog to learn more about this law, the deadlines, and how to report your BOI.
Update: Posted on CNBC 12/09/2024
“Treasury Department may fine small businesses $10,000 or more if they don’t file this new report.” Read more here.
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