Hardware Retailing The Industry's Source for Insights and Information
The Corporate Transparency Act and its beneficial ownership requirement will be enforced again. Following a lifted injunction by a Texas judge who had halted reporting requirements, small businesses must follow the law by March 21.
The act and beneficial ownership rule require certain new and existing small corporations and limited liability companies to report information about their beneficial owners.
Guidance from the Financial Crimes Enforcement Network (FinCEN) says—that for the vast majority of reporting companies—the new deadline to file an initial, updated and/or corrected BOI report is now March 21, 2025. FinCEN will provide an update before then of any further modification of this deadline, recognizing that reporting companies may need additional time to comply with their BOI reporting obligations once this update is provided.
The additional paperwork that will come with the ruling and additional non-compliance fines of up to $591 could pose problems for small businesses.
The deadline may be amended before March 21 and the new administration may provide exemptions for “lower-risk entities,” according to the National Lumber and Building Materials Dealers Association.
