As you may know, the Community Associations Institute (“CAI”) filed a lawsuit against the US Department of the Treasury requesting associations be exempted from the requirements of the Corporate Transparency Act (“CTA”).
While we had been holding out hope that CAI would be able to obtain at least a temporary stay on the enforcement of the CTA, the court ruled today that the requested relief was denied.
The effect of this is that the reporting deadline of January 1, 2025 remains in place and all community associations will be required to register their Beneficial Owners with FinCEN. Failure to file a Beneficial Ownership Information report with FinCEN could lead to significant liability. With just a little over two months to file, associations should be ready to file soon if they have not already done so.
Altitude Community Law P.C. can help with your CTA filing. For more information and/or if you would like us to assist your association with its CTA filing, click here or contact us at [email protected].
I looked up information about CTA. All HOAs should contact their attorney as soon as possible. They need to know who needs to be on this report and they should not engage in the self-help practice of law to interpret who needs to be on the report.
What caught my eye on another website was this: “ This person either has a major influence on the reporting company’s decisions or operations..” Does that mean at the very least everyone who is on the executive board needs to be on the report?
I don’t have any answer for that that is a question for a LPA.
Yes, every board member and officer if they are different must be on the report.
We are a small HOA of 14 units and under $50,000 annual dues. Our only taxable income is interest on our savings account which is less than $3,000 annually. Are we still subject to the CTA requirements?
Yes, your association is still subject to CTA requirements. There are no exceptions.