An Update on the Corporate Transparency Act
The January 1, 2025 deadline is now no longer in effect
Prior to a new ruling issued December 3, 2024, small businesses that met certain criteria would have had to file Corporate Transparency Act’s (CTA) beneficial ownership reports with the Department of the Treasury by January 1, 2025, or risk fines and criminal penalties.
Holding that it is likely unconstitutional, a federal court in Texas halted the implementation of the CTA. The court issued a preliminary injunction barring the government from enforcing the CTA and its reporting requirements against anyone.
“The preliminary relief will remain in effect until the conclusion of legal proceedings, at which point the court may enter a permanent injunction. In the meantime, the government will likely appeal the preliminary injunction. Unless and until an appellate court overrules or narrows the injunction, no businesses are obligated to comply with the reporting requirements.”
Back in January, 2024, the Springfield Area Chamber of Commerce put on their quarterly Small Business Solutions Hub program at the Chamber Depot in downtown Springfield. The Chamber brought in Pablo J. Valentine, a partner at Hershner Hunter, LLP, to talk about new reporting requirements for small businesses introduced by the Corporate Transparency Act.
While the January 1, 2025, deadline is now no longer in effect, the Small Business Solutions Hub meeting was recorded and is available in its entirety below, or by visiting Small Business Solutions Digital Hub under the Springfield Chamber Resource Library.
Learn more: What Every Small Business Needs to Know About the Corporate Transparency Act
