Well, That was Quick – The Corporate Transparency Act is Back: Appellate Court Lifts Nationwide Injunction

On December 23, 2024, the Fifth Circuit Court of Appeals issued an order lifting the nationwide preliminary injunction that was previously issued by a federal district court in Texas on December 3, 2024 to suspend enforcement of reporting obligations for millions of businesses under the Corporate Transparency Act (CTA).  Notably, the appellate ruling failed to extend the reporting deadline for those entities which are required to file a beneficial ownership information report under the CTA.

As a result of this latest development, the CTA’s year-end reporting deadline is back in effect. Businesses which are required to file, but have not yet filed, a beneficial ownership information report under the CTA now must do so before January 1, 2025, unless such deadline is extended prior to January 1 by the U.S. Supreme Court, the Fifth Circuit Court of Appeals or FINCEN. 

In light of the rapidly approaching deadline, businesses which are required to make a CTA filing should promptly gather information required to file a beneficial ownership report under the CTA and complete such filing before January 1, 2025.

For further background information on the CTA please see our previously published articles – The Corporate Transparency Act – What You Need to Know Now, Your Health Care Organization Could Be Subject to the Corporate Transparency Act (CTA), and What is Happening with the Corporate Transparency ACT (CTA)?. 

The contents of this Client Alert are for informational purposes only and do not constitute legal advice. If you have any questions or want to engage our Firm to provide CTA compliance services, please contact a Baird Holm attorney.