On December 23, 2024, the Fifth Circuit Court of Appeals lifted the nationwide injunction previously issued by a Texas District Court. This decision reinstates the Beneficial Ownership Information (BOI) reporting requirements for entities subject to the CTA. The Fifth Circuit’s order can be read here.
In response to the court’s decision, the Financial Crimes Enforcement Network (FinCEN) announced a revised filing deadline for BOI reports. Pre-existing companies (those formed prior to January 1, 2024, which is most of our community association clients) now have until January 13, 2025 to submit their BOI reports. This updated deadline replaces the original January 1, 2025, deadline. For full details on the filing deadline extension, please refer to FinCEN’s announcement here.
The CTA, as originally enacted, applies to most community, subdivision, and condominium associations, as well numerous other entities, by requiring them to disclose their beneficial ownership to the federal government. For more background on the CTA and its implications for associations, see our prior article here. We will continue to monitor these developments and will provide updates as needed. Given how quickly things are evolving as we lead into a new deadline, this ruling might not be the last word on the CTA.
Reprinted with permission from MAGWV, PLLC – Condominium & HOA Lawyers, Michigan
With the BOI filing requirement flip-flopping back and forth, the safest thing to do is ensure each community gets its BOI filing done by 1/13/25. If you haven’t already done so for every community you manage, please do so as soon as possible.