By Marlee Jackson
(334) 613-4219

A district court has blocked the U.S. Department of Treasury from enforcing Corporate Transparency Act (CTA) beneficial ownership information reporting requirements – good news for Alabama farmers and small-business owners. The CTA’s filing requirements went into effect this year, and fines for late reporting would have begun Jan. 1, 2025.

Alabama Farmers Federation leaders hailed the preliminary injunction Dec. 3.

“Despite the CTA’s many problems, we made our members aware earlier in the year about its requirements because all indications trended toward the new law remaining in place,” said John Allen Nichols, the Federation’s agriculture counsel. “We are pleased to see the court rule with common sense and set aside this requirement while working to determine its constitutionality.”

The U.S. District Court for the Eastern District of Texas halted implementation in response to a lawsuit from the National Federation of Independent Business and others.