Over the past year, we’ve emphasized the importance of complying with the Corporate Transparency Act (CTA) and filing the Beneficial Ownership Information (BOI) Report. While we have an update — and it’s a good one — this is not the time to become complacent.
On Tuesday evening, December 3, the U.S. District Court for the Eastern District of Texas issued a nationwide injunction halting the enforcement of BOI reporting requirements. The court held that the CTA is likely unconstitutional and temporarily barred the government from enforcing its provisions.
So, for now, BOI filings are no longer required.
However, this legal battle isn’t over. The government is expected to appeal, meaning the filing requirement could return. If it does, fines for noncompliance are steep—$500 per day, up to a maximum of $10,000. With the original deadline of December 31, we urge you to consider filing proactively to ensure you’re covered, just in case the government wins on appeal.
As this is a legal issue, we recommend consulting your business attorney for advice on whether filing is still the best course of action for your company.
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