The United States District Court for the Eastern District of Texas Sherman Division has enjoined the Corporate Transparency Act and enforcement of the corresponding regulations. The Court also held that reporting companies need not comply with the CTA’s January 1, 2025 Beneficial Ownership Information Report reporting deadline pending further order of the Court. This injunction applies nationwide and not just to the plaintiffs in the case.
Neither the Justice Department nor the Financial Crimes Enforcement Network (“FinCEN”) has responded at this date to the court’s decision.
Reporting Companies should monitor the situation and be prepared to resume their BOIR reporting in the event the temporary injunction is lifted or modified.