On January 23, 2025, the United States Supreme Court lifted the injunction that the Fifth Circuit Court of Appeals had put in place on December 26, 2024. While at first blush this would indicate that limited liability companies and corporations are now, once again, required to register with the U.S. Treasury Department’s FinCEN. However, a Federal District Court judge for the Eastern District of Texas had previously issued a nationwide injunction in a separate case and FinCEN recognizes that the injunction in that case is still in place. Currently, individuals and entities are permitted to continue to register with FinCEN but the obligation to register is not. This means that entities are NOT required to register with FinCEN under the law at this time.

THE FUTURE

This is not the end of this matter. Numerous federal courts will be reviewing the constitutionality of the law itself in the coming weeks and months, and it is possible that the existing injunctions may be lifted, and new ones imposed. Further, the impact of the new administration is unknown; President Trump had previously vetoed the statute that included the Corporate Transparency Act when it was originally passed, and Congress overrode his veto. Now that the Trump administration is in charge of the Department of Justice, it is unclear what impact this will have on the government’s enforcement of the law.

If you have any questions or want our assistance with registering your limited liability company or corporation with FinCEN, please contact Attorney Allison R. Lane.