Its complicated.
The most up to date information will be on the government website https://fincen.gov/boi
As of today the filing is voluntary. The federal courts are still trying to determine if the Corporate Transparency Act is constitutional. You may have seen the acronyms CTA BOI.
The information that the federal government wants to know about a business are similar to what a business has to filed at the state level. Owner’s information is also reported on schedule k-1s of the federal business tax return. So for many of us this seems redundant.
Here is a brief history of the act:
- September 29, 2022 – FinCEN issued provisions requiring reports to be filed by most LLCs, Corporations, Limited Partnerships, and Statutory Trusts. Reporting began January 1, 2024. Most reports were to be due by December 31, 2024.
- March 2, 2024 – a ruling by the US District Court in Alabama found the CTA exceeds the constitutional limits of the legislative branch and waived the requirements for NSBA members.
- December 3, 2024 – a federal district court in Texas issued a preliminary injunction barring the government from enforcing the law, basically suspending the filing requirements nationwide.
- December 23, 2024 – a federal court reinstated the requirements and moved the deadline for filers to January 13, 2025.
- December 26, 2024 – a federal appeals court reversed course earlier in the week, putting reporting requirements on indefinite hold while the courts consider all the legal challenges to the law.
Sincerely,
