I’ve got some good news and I’ve got some bad news…

I will start with the bad news, because it is a bit more pressing. Remember the back and forth of the Corporate Transparency Act and the new reporting requirements on small businesses? Until today there was an injunction on that law based on a case out of Texas. The injunction (which prevented enforcement of the new law) was appealed to the Supreme Court of the United States and the injunction was lifted. This means that the Corporate Transparency Act is back on.

Because the reporting deadline was December 31, 2024, the lifting of the injunction means that any small business subjected to the law who has not yet filed is now late in their filing. However, last time there was a court decision like this, the regulatory body (FinCEN in this case) gave a 2-week grace period to file. We will monitor this and let you know as soon as we know.
There are a couple things to consider… There was another national injunction on this law, but since that injunction is on the regulation and not the law itself, it is not crystal clear as to your requirement to file. Since non-compliance with the Corporate Transparency Act does carry criminal penalties, we do recommend complying based on whatever date FinCEN publishes.
Finally, remember that SBAM has an active case too and it has been through full litigation at the local level. We are hopeful that we might obtain an inunction for our members through that decision which we expect literally any day now. So stay tuned for updates on a new FinCEN reporting deadline and on SBAM’s case in Michigan’s Western District.
And now, the good news…
The House of Representatives has passed bills 4001 and 4002 to preserve the tipped wage credit for bars and restaurants and lessen the most egregious aspects of the Earned Sick Time Act. Both bills passed with bipartisan support, but clearly, Speaker Matt Hall has made fixing these critical issues a priority.
But I do want to make clear that this is the first step in the process. The bills face a much less friendly audience in the Michigan Senate. As always, we will work diligently to support passage.

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The Small Business Association of Michigan focuses solely on serving the needs of Michigan’s small business community through advocacy, collaboration and buying power. Today they serve over 30,000 members in all 83 counties of Michigan. SBAM is located in Lansing, just one block from the Capitol.
Images courtesy of SBAM