The Supreme Court is currently considering whether to combine CIR’s constitutional challenge to the Corporate Transparency Act with another, similar challenge to the CTA and hear both cases in its next term that starts in the fall of 2026. CIR has asked the Court to resolve whether Congress has the constitutional authority to force small businesses, nonprofit organizations, and civic associations to report confidential and personal information to a federal law-enforcement database simply because they were formed under state law. We maintain it does not.
A broad group of amici, including 25 states, have urged the Supreme Court to take up the two cases and put constitutional limits on the CTA’s unprecedented federal reporting mandate. The amici argue that the CTA’s constitutional problems did not disappear when Treasury temporarily changed its enforcement posture. The statute remains on the books, and the Supreme Court’s review is needed to settle whether Congress may impose this unprecedented reporting mandate on millions of Americans.
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