From the SEMA Washington, D.C., office 

A late-breaking legal development is reinstating the January 13, 2025, deadline for small businesses to file a report with the U.S. Department of the Treasury's Financial Crimes Enforcement Network (FinCEN) on their beneficial ownership information (BOI). BOI reports are a requirement under the Corporate Transparency Act (CTA), a 2021 federal law that is intended to enhance transparency in entity structures and ownership to combat money laundering, tax fraud and other illicit activities. 

Small businesses can be exempted from filing a report with FinCEN if they meet the following three criteria: 

• Employ more than 20 employees
• Operate a physical office in the United States
• Filed federal tax returns demonstrating more than $5 million in gross receipts or sales. 

Additional information on which companies must file BOI reports with FinCEN are outlined below. If your business is required to submit a report, click here to file a BOI report with FinCEN. 

On December 23, the Fifth Circuit Court of Appeals issued a January 13, 2025, deadline for BOI filings. Previously, a federal district court in Texas issued an order granting a nationwide preliminary injunction, putting the FinCEN's BOI Reporting Rulemaking on hold. However, the U.S. Department of Justice (DOJ) appealed the decision, and the Fifth Circuit Court of Appeals granted DOJ's request to stay (i.e., stop) the preliminary injunction that was pausing the CTA's implementation.  

Beneficial Ownership Rule Filing Requirements 

The CTA defines a "beneficial owner" as an individual who, directly or indirectly, exercises substantial control over the reporting company or owns or controls at least 25% of the ownership interests of the reporting company. An individual exercises "substantial control" over an entity if the individual:  

• Serves as a senior officer 
• Has authority over the appointment or removal of a senior officer or a majority of the board of directors 
• Directs, determines or has substantial influence over important business decisions 

Beneficial ownership information reporting is not an annual requirement. Businesses only must file a report with FinCEN once, unless the filer needs to update or correct information about their company's beneficial ownership. Generally, reporting companies must provide four pieces of information about each beneficial owner: 

• Name 
• Date of birth 
• Address 
• The identifying number and issuer from either a non-expired U.S. driver's license, a non-expired U.S. passport or a non-expired identification document issued by a State (including a U.S. territory or possession), local government or Native American tribe. If none of those documents exist, a non-expired foreign passport can be used. An image of the document must also be submitted. 

Companies must also submit certain information about themselves, such as their name(s) and address. In addition, reporting companies created on or after January 1, 2024, must submit information about the individuals who formed the company ("company applicants"). 

Filers can also view informational videos and webinars, find answers to frequently asked questions, connect to the contact center and learn more about how to report at www.fincen.gov/boi. Also, SEMA member companies can listen to a webinar on the BOI reporting requirements. There is no charge for SEMA members, as the association is a member of the Small Business Legislative Council (SBLC), which hosted the webinar. 

For more information, contact Eric Snyder, SEMA's senior director of federal government affairs, at erics@sema.org. 

Editor's Note: This article was originally published on December 26, 2024, and updated on December 30, 2024.

From the SEMA Washington, D.C., office 

A late-breaking legal development is reinstating the January 13, 2025, deadline for small businesses to file a report with the U.S. Department of the Treasury's Financial Crimes Enforcement Network (FinCEN) on their beneficial ownership information (BOI). BOI reports are a requirement under the Corporate Transparency Act (CTA), a 2021 federal law that is intended to enhance transparency in entity structures and ownership to combat money laundering, tax fraud and other illicit activities. 

Small businesses can be exempted from filing a report with FinCEN if they meet the following three criteria: 

• Employ more than 20 employees
• Operate a physical office in the United States
• Filed federal tax returns demonstrating more than $5 million in gross receipts or sales. 

Additional information on which companies must file BOI reports with FinCEN are outlined below. If your business is required to submit a report, click here to file a BOI report with FinCEN. 

On December 23, the Fifth Circuit Court of Appeals issued a January 13, 2025, deadline for BOI filings. Previously, a federal district court in Texas issued an order granting a nationwide preliminary injunction, putting the FinCEN's BOI Reporting Rulemaking on hold. However, the U.S. Department of Justice (DOJ) appealed the decision, and the Fifth Circuit Court of Appeals granted DOJ's request to stay (i.e., stop) the preliminary injunction that was pausing the CTA's implementation.  

Beneficial Ownership Rule Filing Requirements 

The CTA defines a "beneficial owner" as an individual who, directly or indirectly, exercises substantial control over the reporting company or owns or controls at least 25% of the ownership interests of the reporting company. An individual exercises "substantial control" over an entity if the individual:  

• Serves as a senior officer 
• Has authority over the appointment or removal of a senior officer or a majority of the board of directors 
• Directs, determines or has substantial influence over important business decisions 

Beneficial ownership information reporting is not an annual requirement. Businesses only must file a report with FinCEN once, unless the filer needs to update or correct information about their company's beneficial ownership. Generally, reporting companies must provide four pieces of information about each beneficial owner: 

• Name 
• Date of birth 
• Address 
• The identifying number and issuer from either a non-expired U.S. driver's license, a non-expired U.S. passport or a non-expired identification document issued by a State (including a U.S. territory or possession), local government or Native American tribe. If none of those documents exist, a non-expired foreign passport can be used. An image of the document must also be submitted. 

Companies must also submit certain information about themselves, such as their name(s) and address. In addition, reporting companies created on or after January 1, 2024, must submit information about the individuals who formed the company ("company applicants"). 

Filers can also view informational videos and webinars, find answers to frequently asked questions, connect to the contact center and learn more about how to report at www.fincen.gov/boi. Also, SEMA member companies can listen to a webinar on the BOI reporting requirements. There is no charge for SEMA members, as the association is a member of the Small Business Legislative Council (SBLC), which hosted the webinar. 

For more information, contact Eric Snyder, SEMA's senior director of federal government affairs, at erics@sema.org. 

Editor's Note: This article was originally published on December 26, 2024, and updated on December 30, 2024.

From the SEMA Washington, D.C., office 

As President-elect Donald Trump works to build out his cabinet, SEMA continues to be optimistic and encouraged by the individuals nominated to run agencies that regulate the many parts of our industry. 

SEMA, for starters, welcomes the nomination of North Dakota Gov. Doug Burgum to lead the Department of the Interior. Gov. Burgum understands the importance of motorized recreation to the United States economy and rural areas across the country. We look forward to working with Gov. Burgum on policies to expand and protect motorized recreational access for millions of off-road enthusiasts. 

And SEMA believes that the nomination of former Rep. Sean Duffy will bring a fresh perspective to the Department of Transportation. While serving in the U.S. House, Rep. Duffy supported legislation to provide certainty to racers and the motorsports parts industry and exhibited bipartisan sensibilities during his time in Congress that will be an asset to the administration. SEMA is excited to work with Rep. Duffy to protect the future of customizing vehicles, including those with advanced driver assistance systems, and ensure the nation’s transportation system and supply chain assets are safe, well-maintained and easily accessible to small businesses and automotive enthusiasts. 

From the SEMA Washington, D.C., office 

As President-elect Donald Trump works to build out his cabinet, SEMA continues to be optimistic and encouraged by the individuals nominated to run agencies that regulate the many parts of our industry. 

SEMA, for starters, welcomes the nomination of North Dakota Gov. Doug Burgum to lead the Department of the Interior. Gov. Burgum understands the importance of motorized recreation to the United States economy and rural areas across the country. We look forward to working with Gov. Burgum on policies to expand and protect motorized recreational access for millions of off-road enthusiasts. 

And SEMA believes that the nomination of former Rep. Sean Duffy will bring a fresh perspective to the Department of Transportation. While serving in the U.S. House, Rep. Duffy supported legislation to provide certainty to racers and the motorsports parts industry and exhibited bipartisan sensibilities during his time in Congress that will be an asset to the administration. SEMA is excited to work with Rep. Duffy to protect the future of customizing vehicles, including those with advanced driver assistance systems, and ensure the nation’s transportation system and supply chain assets are safe, well-maintained and easily accessible to small businesses and automotive enthusiasts. 

From the SEMA Washington, D.C., office 

As President-elect Donald Trump works to build out his cabinet, SEMA continues to be optimistic and encouraged by the individuals nominated to run agencies that regulate the many parts of our industry. 

SEMA, for starters, welcomes the nomination of North Dakota Gov. Doug Burgum to lead the Department of the Interior. Gov. Burgum understands the importance of motorized recreation to the United States economy and rural areas across the country. We look forward to working with Gov. Burgum on policies to expand and protect motorized recreational access for millions of off-road enthusiasts. 

And SEMA believes that the nomination of former Rep. Sean Duffy will bring a fresh perspective to the Department of Transportation. While serving in the U.S. House, Rep. Duffy supported legislation to provide certainty to racers and the motorsports parts industry and exhibited bipartisan sensibilities during his time in Congress that will be an asset to the administration. SEMA is excited to work with Rep. Duffy to protect the future of customizing vehicles, including those with advanced driver assistance systems, and ensure the nation’s transportation system and supply chain assets are safe, well-maintained and easily accessible to small businesses and automotive enthusiasts. 

From the SEMA Washington, D.C., office

SEMA decried a decision by the U.S. Environmental Protection Agency (EPA) to approve California's request for the Clean Air Act waiver the state needs to implement its Advanced Clean Cars II regulation, a significant blow for our nation's ability to develop groundbreaking solutions for reducing carbon emissions. SEMA contends that by allowing California to overstep its constitutional and state statutory authority, the federal government is a coconspirator in the state's regulatory land grab to advance deeply unpopular policies that the American people have summarily rejected. 
SEMA, which champions a technology-neutral approach that fosters innovation and ingenuity, will continue efforts to preserve Americans' rights to vehicle choice and the automotive aftermarket industry's ability to design, manufacture and bring to market products that help solve the emissions challenge. 

SEMA now calls upon President-elect Donald Trump to work quickly and efficiently to reverse this stunning misstep at the federal level. 

"Siding with California on these waiver requests is the ultimate bad-faith gesture by President Joe Biden, particularly after our nation's voters last month backed the presidential candidate who promised a 'Day 1' halt to federal EV mandates," said SEMA President and CEO Mike Spagnola. "It's high time that the government stop capitulating to the whims of a single activist state; this is the United States of America, not the United States of California.

"And shame on the EPA. Instead of putting its faith in our nation's innovators to develop multiple, groundbreaking solutions to halt carbon emissions, the EPA continues to tilt the playing field in favor of a single technology, the products of which are unsuitable for many Americans. SEMA will continue to fight back against any effort--whether by California or by radical activist policymakers at the federal level--to force vehicle mandates on the American people and deny the automotive aftermarket of its unparalleled ability to deliver cleaner, safer vehicles through innovation and American ingenuity--particularly through alternative-fuel innovations, replacing older engine technologies with newer, cleaner versions, and converting older internal combustion engine (ICE) vehicles to new electric- or hydrogen-powered vehicles. SEMA will exhaust every option to ensure a technology-neutral approach that rewards innovation, ingenuity and practicality." 

SEMA is not an anti-EV organization; rather, the organization is steadfast in its belief that a technology-neutral approach is the best way to achieve lower vehicle emissions. By declaring one technology as the preferred solution of government, California will kneecap other potential solutions, regardless of their promise to deliver the results the state seeks. Those at the forefront of American innovation, in tandem with the free market, are owed the opportunity to provide meaningful contributions to efforts to eliminate carbon emissions. 

SEMA will continue to pursue its lawsuit against California and its Air Resource Board, filed jointly with NTEA--The Work Truck Association in the U.S. District Court's Eastern District of California, seeking immediate declaratory and injunctive relief to stop electric-vehicle mandates CARB intends to implement through its Advanced Clean Fleets (ACF) regulations. The organizations contend that CARB's actions far exceed California's constitutional and state statutory authority and will have a dire effect on an industry that historically has led the way toward cleaner, safer vehicles through innovation and American ingenuity. 

From the SEMA Washington, D.C., office

SEMA decried a decision by the U.S. Environmental Protection Agency (EPA) to approve California's request for the Clean Air Act waiver the state needs to implement its Advanced Clean Cars II regulation, a significant blow for our nation's ability to develop groundbreaking solutions for reducing carbon emissions. SEMA contends that by allowing California to overstep its constitutional and state statutory authority, the federal government is a coconspirator in the state's regulatory land grab to advance deeply unpopular policies that the American people have summarily rejected. 
SEMA, which champions a technology-neutral approach that fosters innovation and ingenuity, will continue efforts to preserve Americans' rights to vehicle choice and the automotive aftermarket industry's ability to design, manufacture and bring to market products that help solve the emissions challenge. 

SEMA now calls upon President-elect Donald Trump to work quickly and efficiently to reverse this stunning misstep at the federal level. 

"Siding with California on these waiver requests is the ultimate bad-faith gesture by President Joe Biden, particularly after our nation's voters last month backed the presidential candidate who promised a 'Day 1' halt to federal EV mandates," said SEMA President and CEO Mike Spagnola. "It's high time that the government stop capitulating to the whims of a single activist state; this is the United States of America, not the United States of California.

"And shame on the EPA. Instead of putting its faith in our nation's innovators to develop multiple, groundbreaking solutions to halt carbon emissions, the EPA continues to tilt the playing field in favor of a single technology, the products of which are unsuitable for many Americans. SEMA will continue to fight back against any effort--whether by California or by radical activist policymakers at the federal level--to force vehicle mandates on the American people and deny the automotive aftermarket of its unparalleled ability to deliver cleaner, safer vehicles through innovation and American ingenuity--particularly through alternative-fuel innovations, replacing older engine technologies with newer, cleaner versions, and converting older internal combustion engine (ICE) vehicles to new electric- or hydrogen-powered vehicles. SEMA will exhaust every option to ensure a technology-neutral approach that rewards innovation, ingenuity and practicality." 

SEMA is not an anti-EV organization; rather, the organization is steadfast in its belief that a technology-neutral approach is the best way to achieve lower vehicle emissions. By declaring one technology as the preferred solution of government, California will kneecap other potential solutions, regardless of their promise to deliver the results the state seeks. Those at the forefront of American innovation, in tandem with the free market, are owed the opportunity to provide meaningful contributions to efforts to eliminate carbon emissions. 

SEMA will continue to pursue its lawsuit against California and its Air Resource Board, filed jointly with NTEA--The Work Truck Association in the U.S. District Court's Eastern District of California, seeking immediate declaratory and injunctive relief to stop electric-vehicle mandates CARB intends to implement through its Advanced Clean Fleets (ACF) regulations. The organizations contend that CARB's actions far exceed California's constitutional and state statutory authority and will have a dire effect on an industry that historically has led the way toward cleaner, safer vehicles through innovation and American ingenuity. 

The following is a message to SEMA Members from SEMA President and CEO Mike Spagnola:

Dear SEMA Member:

A strong SEMA Board means wise leadership and an association that serves its members well. As a member of the association, we are currently seeking your recommendation of industry leaders to serve on the SEMA Board of Directors.

The following seats are open for this year's election:

• Chair-elect (one open seat)
• Manufacturer (three open seats)
• Manufacturers' Rep (one open seat)

Please take a moment and tell us whom you would recommend as a potential nominee for a Board member position by completing and submitting a nomination form. To help the vetting process, include brief information about the nominee's qualifications, such as background, experience and achievements that would make that nominee an outstanding board candidate.

Nominations for the SEMA Board of Directors are due on Monday, January 6, 2025.

Submit a nomination HERE.

We urge you to take part in the nominations process. Our industry has many individuals who would be an asset to the Board, but we need you to help bring them to the attention of the Nominating Committee. Thank you for your attention to this important request.

Sincerely,

Mike Spagnola

SEMA President and CEO

By Ashley Reyes

SEMA is hosting its annual General Membership Meeting at the 2025 Motorsports Parts Manufacturers Council (MPMC) Media Trade Conference in Orlando, Florida, on Wednesday, January 22, 2025. The event will take place in the Florida Ballroom of the Embassy Suites by Hilton Orlando.  

Led by SEMA's executive staff, the meeting will enable SEMA Business Members to learn about the association's year-round benefits designed to help them succeed in the industry. Attendees will gain insight into the association's latest initiatives, tailored business-solutions and the state of the automotive specialty-equipment market.

Employees of SEMA Business Member companies and SEMA+ members are encouraged to attend the General Membership Meeting. If you will be at the conference or in the area, don't miss this opportunity to discover new tools for business growth, as well as network with other members and SEMA staff. Complimentary refreshments will be provided. 

RSVP for the meeting here.

By Ashley Reyes

The SEMA Motorsports Parts Manufacturers Council (MPMC) is accepting nominations for its prestigious MPMC Robert E. Petersen Media Award at this link.

The award honors a member of the print, online or broadcast media who has made a substantial contribution to the motorsports industry within the past year while maintaining an ongoing record of service and support to the motorsports sector.

"Media professionals play a vital role in sharing the stories of this great industry by creating meaningful content that informs, inspires, and showcases the passion and innovation of motorsports," said MPMC Council Director Marcy Yanus. "We encourage everyone to nominate a deserving journalist who has made a meaningful difference this year."

To qualify, nominees must be an automotive or motorsports journalist with work published in print or online media and must actively support the motorsports industry with positive content.

The winner will be announced and celebrated during the MPMC Reception at the 2025 Media Trade Conference, held January 21-23, 2025, held in Orlando, Florida.

Submit your nomination today.