Corporate Transparency Act Injunction Has Been Reinstated: Reporting Companies Are Not Currently Required to File with FinCEN
The Corporate Transparency Act (CTA) requires most business entities to file a Beneficial Ownership Information Report (BOIR) with the Financial Crimes Enforcement Network (FinCEN). On December 3rd a US District Court in the Eastern District of Texas issued a nationwide preliminary injunction against enforcement of the CTA in the Texas Top Cop Shop, Inc. v. Garland case. As a result of that preliminary injunction, companies were not required to file a BOIR with FinCEN while the preliminary injunction remained in force. The Department of Justice (DOJ) appealed the injunction in the Texas Top Cop Shop case to the US Court of Appeals for the Fifth Circuit. At the beginning of last week, the Fifth Circuit reinstated the requirement for reporting companies to file a BOIR under the CTA. However, late last week a different panel of the US Court of Appeals for the Fifth Circuit completely reversed the earlier order. As a result of the most recent order the nationwide injunction issued in the Texas Top Cop Shop case is once again in effect and companies are currently not required to file beneficial ownership information with FinCEN.
If you have questions relating to the Federal Corporate Transparency Act or the New York State LLC Transparency Act, contact our business attorneys, Michael F. McConville at mmcconville@mccmlaw.com or 585-512-3520; Letty Laskowski at llaskowski@mccmlaw.com or 585-512-3538; Amy L. Varel at avarel@mccmlaw.com or 585-512-3506.
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About MCCM
McConville Considine Cooman & Morin, P.C. is a full-service law firm based in Rochester, New York, providing high-quality legal services to businesses and individuals since 1979. With over a dozen attorneys and a full paralegal support staff, the firm is well-positioned to right-size services tailored to each client. We are large enough to provide expertise in a broad range of practice areas, yet small enough to devote prompt, personal attention to our clients.
We represent a diverse range of clients located throughout New York State and New England. They include individuals, numerous manufacturing and service industry businesses, local governments, and health care professionals, provider groups, facilities and associations. We also serve as local counsel to out-of-state clients and their attorneys who have litigation pending in Western New York courts. For more information, please contact us at 585.546.2500.