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Trump Cuts Shell Company Reporting, GAO Calls U.S. Haven

6/6/2026

Summary

Story summary

President Donald Trump’s administration eliminated the Corporate Transparency Act’s reporting requirement for shell companies in a June 2026 GAO report.
The GAO said removal turned U.S. shell companies into a haven for wealth.
Securities and Exchange Commission (SEC) enforcement staff fell 20 percent, slashing high-value taxpayer audits two-thirds since 2025.
Senator Elizabeth Warren and Democrats warned exemption endangers drug-cartel, sanctions-evasion and Chinese money-laundering, citing a 2025 Elon Musk comment as a trigger.

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Story summary

President Donald Trump’s administration eliminated the Corporate Transparency Act’s reporting requirement for shell companies in a June 2026 GAO report.
The GAO said removal turned U.S. shell companies into a haven for wealth.
Securities and Exchange Commission (SEC) enforcement staff fell 20 percent, slashing high-value taxpayer audits two-thirds since 2025.
Senator Elizabeth Warren and Democrats warned exemption endangers drug-cartel, sanctions-evasion and Chinese money-laundering, citing a 2025 Elon Musk comment as a trigger.