OvernightSuch is the world of Tax: You cram your brain full of important information that often has little to do with taxation, only to have it become completely useless a short time later.
Case-In-Point: Last week, after much training and research, we posted an article reminding readers about the looming, non-tax Beneficial Ownership Interest Reporting requirement (and complaining about its legality and overreach). Although it's highly doubtful that my complaints made a difference, my uncanny ability to recognize the obvious has been vindicated!
On December 3rd, less than one month before the filing deadline, a Texas judge preliminarily blocked the Beneficial Ownership Reporting requirement included in the Corporate Transparency Act
Does this mean you can ignore the requirement? I DO NOT KNOW - ASK YOUR ATTORNEY, but it's looking more promising that the requirement may soon disappear.
Here's an excerpt from a Bloomberg Law article published last night:
The Corporate Transparency Act and its implementing regulations, which require US business entities to report stakeholder information to the Treasury Department, were preliminarily blocked nationwide by a Texas federal court on Tuesday.
Judge Amos L. Mazzant III of the US District Court for the Eastern District of Texas issued the injunction at the request of a family-run firearms and tactical gear retailer, called Texas Top Cop Shop Inc., among other co-plaintiff businesses and the Libertarian Party of Mississippi. Their lawsuit alleged that the CTA falls outside of Congress’s powers to regulate interstate and foreign commerce because it regulates incorporated entities regardless of whether they engage in commercial activity.
“For good reason, Plaintiffs fear this flanking, quasi-Orwellian statute and its implications on our dual system of government,” Mazzant wrote.
Here's a link to the Opinion.
What happens next? Stay Tuned.
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