The ban does not apply to the club's women's and futsal teams.
It has been also reported that Chelsea have been fined due to a breach of regulations during signing of 29 players and also during the registration of the players.
Football's world governing body said two agreements the club had concluded for two of its youth players "allowed it to influence other clubs in transfer-related matters".
"Chelsea FC categorically refutes the findings of the Federation Internationale de Football Association disciplinary committee and will therefore be appealing the decision", said a statement on the club's website.
"Chelsea FC acted in accordance with the relevant regulations and will shortly be submitting its appeal to Federation Internationale de Football Association".
Itoje in contention for Wales clash - Mitchell
Travelling to Dublin as underdogs, England physically dominated Grand Slam champions Ireland as they won 32-20. He'll be marked by George North, who is bigger but not faster.
The ban also affects Mateo Kovacic, now on loan at Chelsea from Madrid.
Sport are reporting that Chelsea have been banned from signing any new players in the summer 2019 transfer window and the January 2020 one. Chelsea do not want to sell him and not being able to add to their squad might make losing such a talented player seem even more unattractive. It was fined CHF 510,000 and given a period of six months to address the situation concerning the worldwide transfer and first registration of minors in football.
Chelsea apparently did not take this rule change seriously, and is accused of violating this rule with the cases of 29 minor players. With no replacement for Cesc Fabregas having been signed and the prospect of Mateo Kovacic returning to Real Madrid after his loan spell, the odds could be stacked in Loftus-Cheek's favour for once.
Gonzalo Higuain, who is now on loan from Juventus, would be unable to join permanently if Chelsea are banned for the upcoming window.
The FA has also been fined 510,000 Swiss francs after being found to have breached the rules in connection with minors, the Federation Internationale de Football Association statement added.
Brexit plan proves Irish border issue was scaremongering - DUP
The Bill will be debated in the Dail next week and then in committees the following week, before being debated in the Seanad. Tanaiste Simon Coveney at a press conference at Government Buildings in Dublin on Friday.
Eden Hazard has been linked with a move away from Chelsea, possibly to Real Madrid, and this doesn't really change that.
At least Gateshead seemed keen not to rub salt into the wounds, though, as they tweeted "Welcome to the club" following the news.
The rules were brought in to help stop possible exploitation and trafficking of children.
La plus grosse usine du monde toujours à l'arrêt — Nutella
Elle a doublé son chiffre d'affaires en dix ans pour atteindre plus de dix milliards d'euros. Des investigations ont été lancées après qu'un "défaut de qualité" a été observé.