Corporate Transparency Act – Nationwide Injunction Reinstated
We recently informed you that the nationwide injunction blocking enforcement of the Corporate Transparency Act (CTA) had been lifted. However, following that alert, the Fifth Circuit Court of Appeals issued an order in Texas Top Cop Shop, Inc. et al. v. Garland, vacating the stay of the preliminary injunction.
On December 27, FinCEN issued an Alert indicating that reporting companies are currently not required to file beneficial ownership information with FinCEN and will not face liability for failing to do so while the order remains in effect. Companies may, however, continue to voluntarily submit beneficial ownership reports.
We will continue to monitor this evolving situation and provide updates as necessary. If you have questions about how this may impact your compliance obligations, please don’t hesitate to contact us.
