Corporate Transparency Act (CTA) Update: March 2025
The U.S. Treasury Department issued a press release on Sunday, March 2nd announcing the end of enforcement of the Corporate Transparency Act (“CTA”) against domestic entities. On Friday March 21st, FinCEN posted a regulatory pronouncement that almost entirely eliminated the CTA requirements for the time being.
The CTA will now only apply to foreign entities that have registered to do business or co-exist in the United States, and such registration will only require disclosure of information on foreign owners and foreigners who are in control of such entities. The filing deadline for foreign entities has been delayed until April 25th.
So, unless Congress takes additional action, the CTA is dead for domestic entities and more than 99% of those initially targeted by Congress’ intent. Again, it will only apply to foreign entities. It is not likely that Congress will take any action on this sort of legislation given their priorities around the budget resolution and new tax laws.
Monitoring new developments
The CTA has been a significant headache for entities and professionals as it’s been turned off and on again and again. It seems that this annoyance is over for the vast majority of us — at least for now. Nevertheless, be mindful of the obligation to report situations where foreigners have ownership interest or control of dually registered entities. Additionally, we’ll continue to monitor the situation and provide any update on the CTA.
ABOUT THE AUTHOR
John Schuman, JD, CFP®
John is a Partner, Head of Wealth Transfer at Corient, based in our Columbus, OH, office. Previously, he was a Partner, Co-CEO and President of legacy firm Budros, Ruhlin & Roe. As a CERTIFIED FINANCIAL PLANNER™ certificant, licensed attorney and former Certified Public Accountant (CPA), he adds an exceptional perspective to the firm. John’s expertise includes estate planning and taxation, income tax, general business and succession planning, and charitable and retirement planning. He has been a featured speaker at conferences of the Columbus Bar Association, the Financial Planning Association (FPA), the National Association of Personal Financial Advisors (NAPFA), the Ohio CLE Institute, The Columbus Foundation and the International Association of Advisors in Philanthropy.
John holds a Bachelor of Science from The Ohio State University and a Juris Doctorate from Capital University Law School (summa cum laude). John is a member of the Financial Planning Association (FPA), the National Association of Personal Financial Advisors (NAPFA), and the Columbus, State of Ohio and American Bar Associations. He also serves as a member of the Professional Council of The Columbus Foundation.
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