MD Attorney General Issues Opinion Re: Beneficial Ownership Reporting & CPA Unauthorized Practice of Law

[sjrcpa]

In 29 pages, he concludes:

"In our opinion, the Maryland courts would most likely hold that a CPA may, without violating the prohibition on unauthorized practice of law, provide clients general information about the Transparency Act and the BOIR requirement without tailoring the information to any client’s individual situation, or fill out and file a BOIR form using a list of beneficial owners submitted by the client. Though the question is closer, a CPA likely also may help a client to determine whether it is a “reporting company,” or to identify its “beneficial owners” within the meaning of the Transparency Act, by walking the client through FinCEN’s instructions, by defining terms that are familiar to nonlawyers and/or CPAs, or by answering questions for the client where the question and answer do not call for legal knowledge or skills. However, a CPA generally should not answer a BOIR-related question for a client where there is uncertainty as to the answer and resolving that uncertainty would require legal knowledge, skill, and judgment."

You can read the entire opinion  https://www.marylandattorneygeneral.gov/Opinions%20Documents/2024/109OAG32.pdf

[PATAX]

Thanks Sue that is good information. Hopefully the appropriate authorities in the other states will follow and issue opinions.

[Taxes-by-Rocky]

I believe there are now multiple litigations in multiple circuits....so I think it's going to be a while.

[BobKamman]

There's that one narcissist judge in Alabama, whose 15 minutes of fame applies just to the plaintiffs in that case and has been put on hold pending appeal.  You know of other cases?  

[BobKamman]

Speaking of state attorneys general, the Justice Department's brief in the Alabama case points out that 42 of 50 state attorneys general endorsed the BOI legislation in 2020, in a letter to the Senate Banking Committee. 

One of the few things that red states and blue states could agree on, back then.  

https://perma.cc/D3YN-FWPB 

[PATAX]

I believe there is a case in michigan. Michigan SBA I believe

[BobKamman]

That's the "Small Business Association of Michigan," and one of their co-plaintiffs is the Chaldean American Chamber of Commerce.  A case of Fireball to the first person who can point to Chaldea on a map.  It's a copycat case, filed a couple weeks after the Alabama decision.  But this one is assigned to a judge with realistic credentials, like a law degree from the University of Michigan.  (He's a G W Bush appointee.)  The plaintiffs filed for a preliminary injunction.  After a hearing on April 10, it was denied.  

Motions for summary judgment are now being filed by all parties.  More copy and paste from Alabama.  

[IRonMaN]

BOI posts keep popping up and all I can do is hear Sonny and Cher singing ---------- and the beat goes on.  On a side note, is there enough prison space to hold all of the "criminals" that will fail to properly report their entities?

[Taxes-by-Rocky]

Maine....and I believe Michigan or Wisconsin.