The Corporate Transparency Act: Nationwide Injunction Brings Relief to Businesses
In a significant ruling, U.S. District Judge Amos Mazzant issued a nationwide injunction halting the enforcement of the Corporate Transparency Act (CTA). This decision has far reaching implications for businesses, particularly those grappling with the complexities of compliance. Designed to curb money laundering and illicit financial activity, the CTA would have required businesses to report their beneficial ownership information to the Financial Crimes Enforcement Network (FinCEN) by January 1, 2025. However, the court’s decision has now paused these requirements, raising critical questions about federal authority and corporate governance.
