Pearl Cohen U.S. Corporate and Securities Group
On February 27, 2025, the Financial Crimes Enforcement Network (FinCEN) announced that it will not issue any fines, penalties, or enforcement actions against companies that fail to file Beneficial Ownership Information (BOI) reports under the Corporate Transparency Act (CTA) until further notice. This pause follows a February 17, 2025, ruling by the U.S. District Court for the Eastern District of Texas that reinstated the CTA’s reporting requirements nationwide.
While reporting obligations remain in effect, FinCEN intends to issue an interim final rule no later than March 21, 2025, which may extend compliance deadlines. FinCEN also plans to solicit public comments on potential revisions to BOI reporting requirements.
For now, businesses should be aware that BOI reporting is still required, but no penalties will be imposed for noncompliance until FinCEN issues further guidance. Companies should continue preparing for compliance while monitoring regulatory updates.
For questions about how the CTA applies to your company, please contact:
Oded Kadosh – okadosh@pearlcohen.com
Guy Milhalter – gmilhalter@pearlcohen.com
Austin Ochoa – aochoa@pearlcohen.com
