from the ABA Banking Journal,
On March 1, 2024, a federal district judge in Alabama ruled that the Corporate Transparency Act (CTA) is unconstitutional. The judge concluded that the CTA exceeds Congress' legislative powers and lacks a sufficient connection to any enumerated power to achieve Congress' policy goals. The CTA requires companies that do business in the United States to report information about the individuals who ultimately own or control them. The act was intended to help law enforcement detect, prevent, and punish misconduct, such as money laundering and terrorism, through business entities.
