Back in January, I wrote about the Corporate Transparency Act (“CTA”). This act required anyone with a corporation or LLC (and a few other entities) to file a Beneficial Owner Report with the Financial Crimes Enforcement Network. However, on March 1, 2024, the US District Court of Alabama found the CTA unconstitutional.
There are questions about whether this decision applies nationwide (or only to Alabama businesses) and applies to all businesses or only the Plaintiffs (the National Small Business Association). People can only agree that the decision will be appealed, and most likely, other suits in other states will occur. But for now, small businesses are in limbo regarding whether they need to file.
I recommend filing. It takes a few minutes, it is free, and the information you provide is something the government already has. If you want to hold off, there is no rush because the deadline (as it stands now) is January 1, 2025, for all companies to file.
Here is the direct link: Beneficial Ownership Information Reporting | FinCEN.gov
If you have questions about filing requirements for your company on either the state or federal level, reach out – it never hurts to have me quickly review what has been filed and what is needed.