The Corporate Transparency Act (CTA) is back in effect and business owners should be aware of the latest reporting requirements to ensure compliance.
A recent court ruling has reinstated the CTA’s reporting obligations, meaning most businesses that were required to file reports as of December 31, 2024 now have until March 21, 2025 to comply. If your business falls under CTA reporting requirements, it is crucial to be aware of these changes to avoid potential penalties.
What’s Happening?
On February 18, 2025, the U.S. District Court for the Eastern District of Texas ruled to reinstate BOI reporting requirements under the CTA. While some businesses had a temporary reprieve, this new ruling means reporting is now mandatory again.
To allow businesses more time to comply, the Financial Crimes Enforcement Network (FinCEN) has extended the deadline by 30 days, making March 21, 2025, the new deadline for most companies. FinCEN has also stated they are reviewing options to ease compliance requirements for small businesses, but no further changes have been announced yet.
Who Needs to Comply?
If your company was created before January 1, 2024, and is considered a reporting company under the CTA, you are likely required to submit a beneficial ownership report by this deadline. Some companies with prior disaster-related extensions may have later deadlines, and certain businesses involved in ongoing litigation remain exempt for now.
What Should You Do?
✅ Review your company’s reporting obligations under the CTA.
✅ Prepare to file your BOI report before the March 21, 2025 deadline.
✅ Stay informed about potential changes as FinCEN evaluates compliance requirements.
✅ Consult a compliance expert or legal professional who specializes in CTA reporting if you have any questions.
Important Note:
While we are sharing this update to keep you informed, our firm does not provide CTA compliance services. If you need assistance with filing or understanding your specific obligations, we recommend reaching out to a qualified compliance specialist or legal advisor who can guide you through the process.
We will continue to monitor any further developments and share relevant updates as they arise. If you have any questions about estate planning or administration or other related legal matters, please don’t hesitate to reach out.
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