We previously reported on the Corporate Transparency Act (the “CTA”) that required many businesses to report their ownership information to the federal government.
Several court cases challenged the constitutionality of the CTA, and the reporting requirement took an “on again, off again” nature. It seemed that at one moment the courts required that businesses report their ownership, and the next moment the requirement was stayed.
The most recent turn involving the CTA happened this week: on March 2, 2025, the U.S. Treasury Department issued a press release stating that the scope of the CTA would be narrowed. Now, domestic companies and U.S. citizens are no longer required to report their business ownership information. There will be no enforcement or fines and penalties assessed against domestic companies that do not report their ownership information. However, the requirement remains in place for foreign companies, which are entities formed under the laws of a foreign country that have registered to do business in the United States. The deadlines for those entities will be established in an upcoming rule to be issued by the Financial Crimes Enforcement Network.
For the time being, then, U.S. companies do not need to comply with the CTA. We will keep our clients informed with any further developments.
The attorneys at Hamelburg Law, LLC are committed to helping entrepreneurs reach their business objectives while complying with legal requirements. For more information on the CTA or other business filing requirements, consult with our experienced business law attorneys. This blog was written by Jamie Hamelburg, Managing Member at Hamelburg Law, LLC, and Sarah Benjamin, an associate at the firm.
