FinCEN BOI Filing Updates
Update 1/10:
After the Supreme Court hearing on January 10, no new arguments were raised, and the BOI filings are still voluntary. We continue to recommend that clients be prepared to file if/when the filings become required again, but for now, it’s up to you to decide whether to file them.
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Update 12/30:
Here is our latest update regarding BOI filings under the Corporate Transparency Act (CTA):
Due to ongoing court actions, filing requirements remain uncertain and are temporarily paused once again. FinCEN is currently accepting reports as “voluntary filings.”
What This Means:
The enforcement of the CTA filing requirements is temporarily paused following a recent court decision vacating the prior stay. The courts have assigned procedural hearings to occur starting in February to move to a determination of the filing requirements. The determination may come quickly and necessitate a need to act quickly to meet an adjusted filing deadline.
Your Options:
- Wait and see: You can hold off filing until the case is resolved. Many actions in the expedited case are currently scheduled for February but these could be moved sooner.
- Prepare and hold: Prepare your BOI filing so that it can be filed if a decision to require filing and a new due date is announced.
- File now: Filing during this voluntary period ensures compliance and avoids the risk of a last-minute rush if deadlines are reinstated.
How We Can Assist:
We encourage you to be prepared to file quickly. The rules have been changing quickly and often lately and we want everyone to be prepared to file if the returns change. If you have not yet filed your BOI report and would like our assistance, please contact us.
If you have asked us to help you file your BOI report, we will prepare your reports to be ready to be filed pending a decision or ruling. If you would like to file your report now and the voluntary filing option, please let us know.
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12/27/2024
We have important FinCEN filing updates to keep your holiday season exciting!
BOI reporting was suspended on December 3 from a Texas district court injunction based on the legality of the filing requirements. FinCEN appealed this ruling to keep the January 1, 2025 filing deadline with a request to have a decision by December 27, 2024.
On December 23, 2024, the Fifth Circuit Court of Appeals issued a stay on the district court’s nationwide injunction against the Corporate Transparency Act (CTA). This stay reinstated the requirement to file Beneficial Ownership Information (BOI) reports. However, FinCEN had extended the deadline to file to January 13, 2025.
On December 26, 2024, the Fifth Circuit Court of Appeals vacated its stay ruling that removed the injunction pending further review of FinCEN’s argument. This currently reinstates the injunction to make filing BOI reports not necessary until a decision is arrived at. We are awaiting further actions and decisions by the Fifth Circuit today to help understand what the requirements for BOI reports will be.
What do you need to do? We recommend being prepared to file your BOI reports by January 13, 2025. This is the current extended deadline issued by FinCEN that would be enforced if the injunction is lifted by the Fifth Circuit Court of Appeals in the coming days. The process could be resolved quickly or drawn out. Having quick access to the information and documents for beneficial owners to be reported would be prudent.
Our team has prepared reports to file based on the ruling and deadlines. We can assist you in getting your reports prepared for filing to meet the ever-changing timeline.
As further information is released in the case, we will provide updates on how this will affect you and your business. Check out our BOI page for more information on FinCEN BOI reporting or visit www.fincen.gov.