Tag: BOI

News
December 31, 2024
The 5th Circuit Court of Appeals recently issued a significant ruling halting the enforcement of the Corporate Transparency Act (“CTA”), which had been set to require businesses to disclose corporate and personal information by January 13, 2025. This decision marks a dramatic reversal, following a prior ruling just days earlier that had reinstated the reporting requirements. The new halt came after a December 26 ruling by another 5th Circuit panel, which reinstated a nationwide injunction to preserve the status quo while the court reviews the substantive arguments in the case. A hearing is scheduled for March 2025, with briefing schedules
News
December 5, 2024
As most businesses were rushing to meet the January 1, 2025, deadline to submit Beneficial Ownership Information (BOI) under the Corporate Transparency Act (CTA), a federal court in Texas issued a major ruling on December 3, 2024. The court temporarily stopped the U.S. government from enforcing the BOI reporting requirements nationwide. The lawsuit, filed by the National Federation of Independent Business (NFIB), argued that the CTA might be unconstitutional. The court agreed, finding that the law likely exceeds Congress’s authority to regulate commerce or pass laws necessary for tax collection.