Federal Court Enjoins Corporate Transparency Act

A Federal Court in Texas has issued a nation-wide injunction excusing all corporate entities from complying with the Corporate Transparency Act (CTA) Beneficial Ownership Information Reporting (BOIR) requirements. By an order dated December 3, 2024, District Judge Amos L. Mazzant of the Eastern District of Texas held that the CTA is “likely unconstitutional” as outside of Congress’ power, and the implementing regulations therefore also unconstitutional. The Court concluded that “reporting companies need not comply with the CTA’s January 1, 2025, BOI reporting deadline pending further order of the Court.”

What does this mean for Florida entities?

If you haven’t already filed a BOI Report, you are no longer required to do so. There is a small chance that a higher court will eventually overrule this decision, but that could take many years. Until a further order from this court or a higher court, there is no longer a need to report your ownership information to the Federal government.

If you’re curious, the case is Texas Top Cop Shop,Inc. v. Garland, Case No. 4:24-cv-478 (December 3, 2024) [pdf].