Federal Government Sends Lump of Coal to All Small Businesses with Reinstatement of Corporate Transparency Act
December 24, 2024
Editor’s Note: After the publication of this statement, we learned the filing deadline has been extended until January 13, 2025. The original release included the original filing deadline of December 31, 2024.
After the 5th Circuit Court of Appeals issued a stay on the injunction against enforcement of the Corporate Transparency Act, Small Business Association of Michigan President & CEO Brian Calley issued the following statement:
“The Corporate Transparency Act is a threatening, unconstitutional law that carries heavy fines and even criminal penalties for millions of unsuspecting small business owners. Now, just before Christmas, today’s court action is a gut punch to entrepreneurs who will have to quickly figure out how to navigate this vague compliance structure with just a week to go before the filing deadline. We have filed a lawsuit in the District Court for the Western District of Michigan on behalf of our members and small business owners everywhere.
“Politicians and bureaucrats say that this law was created to identify criminals, but what it really does is treat small business owners as if they are all criminals. Ironically, the IRS has done such a poor job of informing small business owners of their obligations under this new law that the law itself will create millions of unintentional offenders who are simply trying to run their businesses. We are continuing our lawsuit against this outrageous overreach and are appalled that small businesses are expected to take on this burden with so little time to comply with a deadline of January 13, 2025.”
SBAM continues to provide updates to their members and small businesses statewide.