AAMA recently learned about the Corporate Transparency Act and its potential burden on the amusement industry and many other small businesses. The association’s executive vice president Pete Gustafson reported his dissenting opinion in a recent letter and call to action.
In part, he wrote that the rule is “duplicative” and “the penalties are overbearing and onerous.” The CTA requires many small businesses to report information about ownership to the government.
“As of May 28, 2024, a total of four lawsuits have been filed challenging the CTA,” Gustafson added. “They have been filed in U.S. District Courts in Texas, Alabama, Maine and Michigan. While there is the possibility one of these lawsuits will succeed, no one can say for certain if or when that may happen.” Legislation has been introduced in the Senate, along with companion legislation in the House, to overturn the CTA in its entirety.