Corporate Transparency Act Blocked by US Appeals Court Again (3)

A Fifth Circuit panel reinstated a nationwide injunction blocking enforcement of the Corporate Transparency Act, three days after a different panel lifted it, causing turmoil in compliance offices.

The CTA, enacted as an anti-money laundering measure, requires that US entities that existed before 2024 disclose the identities of their beneficial owners—individuals who own or control the business—by Jan. 1, 2025. With the injunction back in place as of Thursday, however, the government can no longer require businesses to file their beneficial ownership information reports to Treasury’s Financial Crimes Enforcement Network.

Back-and-forth changes to CTA enforcement over the holidays have caused ...