Treasury Finalizes Rollback of Corporate Transparency Act Reporting Requirements

On August 12, 2026 the Treasury Department’s Financial Crimes Enforcement Network (FinCEN) issued a final rule that permanently eliminates the requirement for U.S. companies and U.S. persons to file beneficial-ownership information (BOI) under the Corporate Transparency Act (CTA). The rule also directs FinCEN to delete previously submitted BOI for U.S. persons and to retain reporting obligations only for foreign entities that register to do business in the United States.

US Treasury Permanently Ends BO Reporting Requirement On US Persons, Corporates United Press International (UPI)Breaking News: U.S. Treasury and FinCEN Issues Final Rule Ending Corporate Transparency Act’s Beneficial Ownership Reporting Requirements for Community Association Board Members

The CTA was enacted as part of the National Defense Authorization Act for Fiscal Year 2021 after Congress overrode a presidential veto in January 2021. Beneficial-ownership reporting began on January 1, 2024, covering an estimated 32 million domestic entities. After industry lobbying and lawsuits, Treasury issued an interim final rule in March 2025 that suspended reporting for U.S. entities; the August 2026 rule makes that suspension permanent.

Forbes

• Approximately 32 million companies were subject to the CTA when reporting began.

Forbes

• The rule exempts roughly 99 % of U.S. businesses that would otherwise have been required to report.

The Progressive Farmer

• The CTA originally required reporting of owners holding at least 25 % of a company or exercising “substantial control.”

Forbes

Treasury officials emphasized that law-enforcement agencies will continue to have “alternative sources of information” to investigate illicit activity and that foreign-entity reporting remains in place.

Latin Times

Sources differ on which president signed the CTA into law. Some outlets attribute the signing to former President Joe Biden, while others describe the law’s passage as occurring after Congress overrode a Donald Trump veto in early 2021. The discrepancy reflects divergent reporting rather than a settled fact.

Team Trump rolls back scrutiny of shell companies, weakening law Rubio helped write

Legislative efforts to fully repeal the CTA continue. In January 2025, Representative Warren Davidson (R-OH) introduced H.R. 425, the “Repealing Big Brother Overreach Act,” which would delete all BOI filings for U.S. persons within 90 days of enactment. The bill has garnered 191 co-sponsors and awaits a House vote.

Breaking News: U.S. Treasury and FinCEN Issues Final Rule Ending Corporate Transparency Act’s Beneficial Ownership Reporting Requirements for Community Association Board Members

• “Today's action is a victory for common sense and American small businesses,” — Treasury Secretary

The Progressive Farmer

• “President Trump promised to cut red tape, and this final rule delivers. Treasury is eliminating a burdensome reporting requirement for millions of law-abiding business owners without compromising our national security.” — Treasury Secretary Scott Bessent

US Treasury Permanently Ends BO Reporting Requirement On US Persons, Corporates