Late on Dec. 23, 2024, the U.S. Court of Appeals for the Fifth Circuit Court of Appeals stayed the injunction issued by the U.S. District Court for the Eastern District of Texas earlier this month and issued a court order reinstating the January 1, 2025, beneficial ownership information filing deadline under the Corporate Transparency Act (CTA). A pdf copy of the court order is available to download HERE.
What does this mean for your community association or business entity?
- Once again, entities (most small businesses and all condominium and homeowners associations) are required to file beneficial ownership information reports with the Financial Crimes Enforcement Network, commonly known as FinCEN.
- The deadline to file initial filings is January 1, 2025; however, under the previous FinCEN Notice, businesses and community associations (condo & hoa) have an additional six months if located in an area affected by Hurricane Milton. This extension covers most Florida counties, excluding the panhandle.
- Although the court battles will continue, and the ultimate outcome remains undecided, businesses and community associations should consider filing now to avoid any possible default. If not, then careful monitoring of future developments to ensure timely filing prior to the applicable deadline is a must as there are severe financial and criminal penalties.
- The filing deadlines are:
- Reporting companies created or registered before January 1, 2024, have until January 1, 2025, to file. (But may qualify for a6-month extension if affected by Hurricane Milton)>
- Reporting companies created or registered in 2024 must file within 90 calendar days after receiving actual or public notice that their creation or registration is effective, whichever is earlier.
- Reporting companies created or registered on or after January 1, 2025 must file within 30 calendar days after receiving actual or public notice that their creation or registration is effective.
- Any updates or corrections to beneficial ownership information previously filed with FinCEN must be submitted within 30 days. This would include a change in directors of a community association board.
- Ansbacher Law remains available to answer client questions or assist with filing. Visit FINCEN-BOI Community Association Info | Ansbacher Law for more information just call, text, or email us.
