By Oregon Restaurant & Lodging Association,
Federal Court Blocks New Reporting Requirements for Small Businesses
A federal court has temporarily halted the implementation of new reporting requirements under the Corporate Transparency Act (CTA) that were set to take effect on January 1, 2025. These requirements would have mandated small businesses, including restaurants with less than $5 million in annual revenue and fewer than 20 full-time employees, to report detailed ownership and business information to the U.S. Treasury Department.
This matters to restaurant and lodging operators because noncompliance penalties were looming, and the requirements would have added administrative burdens to already stretched small business owners. The delay provides breathing room to better understand and prepare for potential future regulations. It remains to be seen how new Treasury Department leadership in 2025 will handle the CTA and its reporting requirements so operators should stay informed on how these requirements evolve.
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