Please be aware that BOI reporting requirements under the CTA are back in effect: The new deadline for most reporting companies is now March 21, 2025.
Below you’ll find more information regarding the update. If you have specific questions, especially given the flurry of changes, please free to contact us.
Court Updates
On February 17, 2025, the U.S. District Court for the Eastern District of Texas – Tyler Division issued an order granting the federal government’s motion to stay the nationwide preliminary injunction granted on January 7, 2025 enjoining enforcement of the Corporate Transparency Act (CTA) and its Beneficial Ownership Information (BOI) reporting requirements in Smith v. U.S. Department of the Treasury, E.D. Tex., No. 6:24-cv-336-JDK, in light of the U.S. Supreme Court’s order on January 23, 2025 overturning the nationwide preliminary injunction in Texas Top Cop Shop, Inc. v. McHenry (formerly Texas Top Cop Shop v. Garland).
In response, the Financial Crimes Enforcement Network (FinCEN) has extended the reporting deadline for the vast majority of reporting companies until March 21, 2025, and announced that it “intends to initiate a process this year to revise the BOI reporting rule to reduce burden for lower-risk entities, including many U.S. small businesses.”
Link: More information from FinCEN
Oral arguments in Texas Top Cop Shop, Inc. v. McHenry regarding the constitutionality of the CTA have been scheduled at the U.S. Court of Appeals for the Fifth Circuit on March 25, 2025. No oral argument has been scheduled in Smith v. U.S. Department of the Treasury as of the date of this update.
Action in Congress
Additionally, on February 10, 2025, the U.S. House of Representatives unanimously approved the Protect Small Businesses from Excessive Paperwork Act, H.R. 736, which, if passed into law, would extend the CTA’s reporting deadline until January 1, 2026. The bill has been referred to the U.S. Senate Committee on Banking, Housing, and Urban Affairs.
Reach out to us.
Although the litigation surrounding the CTA is complex, the actual filing process itself is relatively simple. Nemphos Braue attorneys can help you determine which of your entities are “reporting companies” under the CTA and what BOI will need to be disclosed.
