The CTA requires reporting companies to file a report with the Financial Crimes Enforcement Network, known as FinCen, by January 1, 2025. Reporting companies must provide beneficial ownership formed or registered to do business before January 1, 2024, and within 90 days following formation.
On December 3, 2024, the Eastern District of Texas District Court granted a national preliminary injunction prohibiting the federal government from enforcing the CTA or implementing its reporting deadlines. The plaintiffs argued that the reporting requirements were unconstitutional. Many reporting companies have not filed or are questioning the rules.
Because of this injunction, reporting companies nationwide are temporarily not required to file any reports until the case works its way through the court system. FinCen has not yet issued any statement or guidance regarding this preliminary injunction. Altman & Associates will continue to monitor the legal developments regarding the CTA.
