WASHINGTON, D.C. – Just days after the U.S. Court of Appeals for the Fifth Circuit reinstated a rule requiring businesses, including farms, to file Beneficial Ownership Information, the same court has now reversed itself, giving businesses a reprieve from filing requirements.
Essentially, the court vacated the federal government’s motion to stay a preliminary injunction against enforcing the Corporate Transparency Act. Under the latest reversal by the appeals court, a nationwide injunction out of a Texas federal court in early December will continue to block the Treasury Department from enforcing the act.
The court decisions are now happening so fast that university Extension offices and others just catching up with the most recent decision are now issuing details that could again be out of date.
The National Federation of Independent Business (NFIB), one of the plaintiffs in the Texas court, issued a release, stating, “The court’s latest decision reinstates the nationwide injunction, blocking the burdensome beneficial ownership information (BOI) reporting requirements for small businesses while the court fully considers the government’s appeal. It also nullifies a previous Fifth Circuit order that allowed the government to begin enforcing the CTA and BOI reporting requirements again.”
