Updated March 5, 2025
The Corporate Transparency Act (“CTA”) is a federal law passed in 2021 to track criminal or terrorist money laundering and safeguard national security and the U.S. financial system.
On March 2nd, the U.S. Treasury Department released a statement regarding CTA enforcement. They announced that they will not enforce any penalties or fines associated with the beneficial ownership information reporting rule under existing regulatory guidelines. Furthermore, they will not enforce any penalties or fines against U.S. citizens, domestic reporting companies, or their beneficial owners after the forthcoming rule changes take effect. To review the U.S. Department of Treasury’s statement, click HERE.
Here’s what you need to know, for now:
- Associations don’t need to file anything new.
- Associations don’t need to update any information.
- There won’t be any fines or penalties for not complying with the CTA.
Given this development, it appears we may have reached the end of this journey, and we can proceed as if the CTA never existed. Unless circumstances change, the Treasury will no longer enforce the CTA against U.S. companies or citizens. We will continue to monitor the situation and inform you of any future developments. Please don’t hesitate to reach out if you have any questions or concerns.
Please contact Mulcahy Law Firm, P.C. with any questions.
