The Washington Wire - The S Corporation Association

Main Street 199A Resources

In the past, we’ve posted all the studies, data, and other information we’d compiled in support of the 199A deduction (here and here).

With Congress debating the deduction once more – Ways and Means hearing tomorrow! – we thought this would be a good time to repost all this work. It demonstrates both the importance of the pass-through sector to the economy and the importance of Section 199A to the pass-through sector.

The Importance of 199A

Our recent study by EY’s Robert Carroll demonstrates how the 199A deduction is vital to Main Street parity. The key takeaway is summed …

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admin2025-01-13T20:59:27+00:00January 13, 2025|

Big Beautiful Bill(s)

Only a couple of days into the new Congress and they’re ready to throw hands!

The Chairman’s frustration is justified. The obsession with process over policy is getting old. As Senator Bob Dole used to say, you should talk about your accomplishments, policies, and facts first. If you don’t have any of those, then fall back on process. “You can always talk about process.” Focusing on process exclusively shifts attention away from the underlying policies and their real-world consequences for Main Street and elsewhere.

It’s also a waste of time. At the …

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admin2025-01-08T17:32:36+00:00January 8, 2025|

CTA Update | January 7, 2025

Notable Developments

Government appeals to SCOTUS
Lawmakers still pushing for CTA repeal
Yet another Treasury hack

* * *

Legal Update

Immediately following the reinstatement of the nationwide injunction against the CTA by the Fifth Circuit, the government asked the U.S. Supreme Court to overturn that ruling and restore the filing deadline while the broader case remains pending. As SCOTUS Blog notes, the government’s argument focuses in part on whether federal courts have the authority to issue nationwide injunctions in the first place:

More broadly, [Solicitor General] Prelogar suggested that the justices could weigh in on the propriety of so-called “universal injunctions” …

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admin2025-01-07T19:40:48+00:00January 7, 2025|

CTA Injunction Reinstated!

The Corporate Transparency Act saga took a welcome turn yesterday after a Fifth Circuit Court panel reinstated the nationwide injunction against the statute.

As a result of the order, Main Street businesses are not required to comply with the Corporate Transparency Act’s reporting requirements until the Fifth Circuit is able to more fully consider the injunction and the underlying merits of the legal challenge. The key paragraphs from that ruling are below:

On December 3, 2024, the district court entered an order enjoining enforcement of the Corporate Transparency Act and its corresponding Reporting Rule. The Government requested a stay of the …

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admin2024-12-27T18:23:14+00:00December 27, 2024|

CTA Filing Deadline Extended to January 13th

It’s far short of the one-year delay S-Corp was seeking, but businesses covered by the Corporate Transparency Act received a small stocking stuffer yesterday, courtesy of the Treasury Department.

Following the unfavorable ruling by the Fifth Circuit which reinstated the Corporate Transparency Act, the Financial Crimes Enforcement Network (FinCEN) has extended the general CTA filing deadline two weeks, until January 13^th. According to the notice posted on the FinCEN website:

Reporting companies that were created or registered prior to January 1, 2024 have until January 13, 2025 to file their initial beneficial ownership information reports with FinCEN. (These companies would …

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admin2024-12-24T16:24:02+00:00December 24, 2024|