On December 23, 2024, the United States Court of Appeals for the 5th Circuit, stayed the preliminary injunction issued by the United States District in Texas Top Cop Shop, Inc., et al. v. Garland, et al., No. 4:24-cv-00478 (E.D. Tex.). The District Court had issued a preliminary injunction finding the Corporate Transparency Act to be unconstitutional and enjoining the government from enforcing it or the reporting requirements. The action by the Court of Appeals lifted the preliminary injunction allowing the government to once again require the registration of Beneficial Ownership Interests (BOIs) for all non-exempt companies.
On December 26, 2024, the 5th circuit reversed its earlier decision lifting the preliminary injunction and reinstated the injunction. Based on this decision, the Financial Crimes Enforcement Network (FinCEN), the Department responsible for gathering the information, once again suspended its deadlines for filing Beneficial Ownership Information (BOI). Under the current status, the requirement to register is not in effect but a company can still voluntarily provide the registration information.
For the complete statement from FinCEN please see: https://fincen.gov/boi
The information contained in this article should be considered general in nature and does not constitute legal advice. If you wish to obtain further information on the topic discussed, you should seek legal or other advice specific to your situation. Steven C. Sasser and Sasser Law Firm, LLC are licensed to practice in Alabama and this article should not be seen as an attempt to solicit legal services from outside of Alabama. No representation is made that the quality of legal services performed are greater than the legal services performed by other lawyers.
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