02/21/2025

CTA News Update

Corporate Transparency Act - Fifth Circuit Court of Appeals Stays the Preliminary Injunction

On February 17, 2025, the U.S. District for the Eastern District of Texas in Smith v. U.S. Department of the Treasury, lifted (stayed) the preliminary injunction which stopped  enforcement of the CTA. 

Key Points of the Stay of the Preliminary Injunction of CTA Enforcement:

• The court’s decision lifts the nationwide injunction to allow enforcement of compliance with the CTA requirements.

Congressional Involvement:

• A series of bills have been introduced in congress to limit or halt enforcement of the CTA.
• On February 10, 2025, the House unanimously passed a bill to delay the reporting requirement until January 1, 2026. The Senate, however, has not yet voted on this bill, but a companion bill has been introduced in the Senate.

Compliance Guidance for Members:

• If you have already filed: You are in compliance should the Corporate Transparency Act become enforceable.
• If you have not filed:
• You have until March 21, 2025, to file to be in compliance.
• As previously reported, free filing can be completed through this LINK

Thank you for your attention to this important matter. Contact Andrew Allman with any questions: (614) 486-5339.