CSSA Delivers Good News About The CTA

On April 2, 2025, the California Self Storage Association (CSSA) delivered a legislative alert via email about the status of the Corporate Transparency Act (CTA). 

“The Corporate Transparency Act (national legislation) was an issue that would have burdened virtually every self-storage company,” the email began. “Fortunately, it has been modified to the benefit of most self-storage owners. As of April 1, 2025, the Corporate Transparency Act (CTA) has undergone significant changes affecting reporting requirements for U.S. companies.”

Those changes include: 

• Reporting Requirements Suspended for U.S. Entities - On March 26, 2025, the Financial Crimes Enforcement Network (FinCEN) issued an interim final rule exempting all U.S.-based entities from the CTA's beneficial ownership information (BOI) reporting obligations. This means that domestic companies are no longer required to submit BOI reports to FinCEN (FinCEN.gov). 
• Focus Shifted to Foreign Entities - The revised rule narrows the definition of "reporting companies" to include only foreign entities that have registered to do business in the United States. These foreign reporting companies are still subject to BOI reporting requirements, with new deadlines established for compliance. FinCEN.gov+1Federal Register+1
• Treasury Department’s Position: The U.S. Department of the Treasury announced that it will not enforce any penalties or fines related to the BOI reporting rule against U.S. citizens or domestic reporting companies. This decision aligns with efforts to reduce regulatory burdens on American taxpayers and small businesses. Reuters+3U.S. Department of the Treasury+3

For more information about this and other legal issues in California, contact CSSA Executive Director Ross Hutchings or Steve Mirabito, chair of CSSA’s Legislative & Legal Committee and owner of StoragePRO Management at (888) 277-2207 or www.californiaselfstorage.org.

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