The Corporate Transparency Act (CTA) is intended to help authorities uncover crimes such as tax evasion and money laundering. But the National Small Business Association (NSBA) is asking the U.S. Supreme Court to determine whether the CTA is constitutional. A 2026 U.S. Treasury Dept. rule exempted most domestic entities from CTA reporting requirements. But in a recent brief filed with the Court, NSBA argued the government can’t use rulemaking to sidestep judicial review or fix constitutional defects in the CTA. NSBA is challenging the CTA under the Commerce Clause and Fourth Amendment. It warns that future administrations could restore broader reporting requirements if the law remains intact.
