On March 2, 2025, the United States Treasury Department announced that, with respect to the Corporate Transparency Act, it will not enforce any penalties or fines associated with the beneficial ownership information reporting rule under the existing regulatory deadlines, and further, it will not enforce any penalties or fines against U.S. citizens or domestic reporting companies or their beneficial owners after the forthcoming rule changes take effect. The Treasury Department also announced that it will be issuing a proposed rulemaking that will narrow the scope of the rule to foreign reporting companies only. Under the CTA, a foreign reporting company is a corporation, limited liability company or similar entity that was formed under the laws of a foreign country and is registered to do business in the United States.