News & Media
WASHINGTON – On Dec. 3, 2024, the U.S. District Court for the Eastern District of Texas issued a nationwide preliminary injunction enjoining the federal government from enforcing the Corporate Transparency Act (CTA). This means the Financial Crimes Enforcement Network (FinCEN), a Bureau within the Treasury Department, cannot currently enforce the Beneficial Ownership Information (BOI) Reporting Rule enacted under the CTA.
The lawsuit asserted that the CTA is outside of Congress’s power to regulate under the Commerce Clause and, thus, is unconstitutional.
The National Association of Realtors® (NAR) is reviewing the court order. Litigation continues, and the federal government may appeal the preliminary injunction.
NAR recommends members consult legal counsel for legal advice regarding compliance and the implications of the preliminary injunction on their businesses.
FinCEN’s BOI Reporting entity remains open and is accepting BOI Reports despite the preliminary injunction’s prohibition on the government’s ability to implement or enforce the CTA and BOI Reporting Rule.
At this time, NAR’s free BOI Compliance webinar is still taking place on Dec. 10, 2024, from 2-3 p.m. ET. Register and attend to receive up-to-date information regarding the BOI Reporting Rule and the preliminary injunction.
The webinar will be recorded for those who cannot attend live.
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