FinCEN has announced a pause on the requirement for companies to file beneficial ownership information under the CTA.
The pause follows a nationwide preliminary injunction issued by a federal district court in Texas in early December.
The injunction suspends the enforcement of the CTA and its reporting requirements. This means the previous filing deadline of January 1, 2025, is now not being enforced, pending further action by the courts.
Despite the injunction, companies can still voluntarily submit their beneficial ownership information.
More updates are anticipated in the coming weeks as the Department of Justice has filed an appeal. Stay tuned.
If you have any questions, please contact your Howard & Howard attorney for more information and updates.