FinCEN Announces BOI Reporting Back in Effect

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CTA requires BOI report

Sorry business owners BOI reporting is back on with the deadline reset to one month. As of February 19, 2025, mandatory Beneficial Ownership Information reporting requirements are back in effect, with a new deadline of March 21, 2025, for most companies. U.S. Financial Crimes Enforcement Network (FinCEN) will assess its options for further modifying deadlines.

FinCEN has extended the Beneficial Ownership Information Reporting Deadline by 30 Days. They also are announcing their intention to revise the reporting rules. The February 18, 2025, decision by the U.S. District Court for the Eastern District of Texas in Smith, et al. v. U.S. Department of the Treasury, et al., 6:24-cv-00336 (E.D. Tex.), beneficial ownership information (BOI) reporting requirements under the Corporate Transparency Act (CTA) are once again back in effect. However, because the Department of the Treasury (Treasury) recognizes that reporting companies may need additional time to comply with their BOI reporting obligations, FinCEN is generally extending the deadline 30 calendar days from February 19, 2025, for most companies.

Of note is that the Treasury has stated that it is committed to reducing regulatory burden on businesses. Therefore, during this 30-day period FinCEN will assess its options to further modify deadlines, while prioritizing reporting for those entities that pose the most significant national security risks. FinCEN also intends to initiate a process this year to revise the BOI reporting rule to reduce burden for lower-risk entities, including many U.S. small businesses

History of CTA and BOI Reporting

  • 2021: Congress passed the Corporate Transparency Act and set a January 1, 2025, deadline for BOI reporting obligations.
  • 12/3/2024: A Texas federal court issued an injunction halting the CTA’s reporting obligations.
  • 12/23/2024: Motions panel of the 5th Circuit overturned the injunction, reviving the CTA. The government responded by postponing the reporting deadline until January 13, 2025.
  • 12/26/2024: Another 5th Circuit panel reinstated the nationwide injunction, citing the need to preserve the status quo while it reviews the substantive arguments in an expedited appeal.
  • 2/18/2025: The U.S. District Court for the Eastern District of Texas in Smith rules to restart BOI reporting.
  • 3/21, 2025: New Deadline to file report.

We know the pressure to submit a report in one month can sound daunting. Contact us for help. The topic of Beneficial Ownership Information reporting has zig-zagged through many changes over the past year. We continue to share relevant news to keep you abreast of the important notices. Contact us at info@madonia.com or (312) 578-9300 with questions, concerns or to file your BOI report.