Those following this blog will recall that FinCEN just announced ten days ago that Beneficial Ownership Information reporting (BOIR) requirements under the Corporate Transparency Act (CTA) were once again back in effect with the decision of U.S. District Court for the Eastern District Court of Texas, in Smith, et al. v. U.S. Department of the Treasury, to lift the stay on BOIR filing requirements pending a decision by the Court of Appeals for the Fifth Circuit.
That FinCEN notice left open the possibility that it may need to provide additional time for companies to satisfy their BOIR requirements, beyond the current March 21, 2025, deadline. On February 27, 2025, that is what FinCEN did, announcing that it:
- Will not issue any fines or penalties or take any other enforcement actions against any companies based on any failure to file or update beneficial ownership information (BOI) reports under the CTA by FinCEN’s current deadlines, which is March 21, 2025; and
- Will not issue any fines or penalties, or take any enforcement actions under the CTA, until a forthcoming interim final rule becomes effective and the new relevant due dates in the interim final rule have passed.
In addition, by no later than March 21, 2025, FinCEN intends to issue an interim final rule that extends BOI reporting deadlines, in recognition of the need to provide new guidance and clarity to reporting companies as quickly as possible, while ensuring that BOI that is highly useful to important national security, intelligence, and law enforcement activities is reported.
FinCEN also noted that it intends to solicit public comment on potential revisions to the current BOI reporting requirements and will consider those comments as part of a notice of proposed rulemaking, which the agency expects to be issued later this year.
We are monitoring this issue closely and will continue to provide you with updates regarding the status of the CTA and its reporting requirements. If you have questions about the CTA’s requirements or just want to ensure your business is on the right track, please feel free to reach out to Timothy Hughes, at (703) 526-5582 or thughes@beankinney.com, or Doug Taylor, at rdougtaylor@beankinney.com or (703) 525-4000. Our firm practices in Virginia, Maryland, and the District of Columbia in addition to various other jurisdictions and can help you through this process.
This article is for informational purposes only and does not contain or convey legal advice. Consult a lawyer. Any views or opinions expressed herein are those of the authors and are not necessarily the views of any client.