Story perspectives

FinCEN Exempts Most Businesses From CTA Reporting

8/16/2026

Summary

Story summary

On August 13, 2026, the Financial Crimes Enforcement Network (FinCEN) exempted entities from Corporate Transparency Act reporting.
Treasury Secretary Scott Bessent called the exemption a victory for businesses, noting that a May 2025 Government Accountability Office report found over 99% of required entities are now exempt.
Senators Chuck Grassley and Elizabeth Warren warned the rollback undermines tools against illicit activity, human trafficking and sanctions evasion and benefits Elon Musk.

History

Historical Context

After the September 11 attacks, Congress passed the USA PATRIOT Act in October 2001, creating FinCEN as a Treasury bureau and expanding anti-money-laundering reporting for banks. Title III amended the 1986 Money Laundering Control Act, requiring financial institutions to file suspicious activity reports. In 2026 the Treasury announced exemptions for certain entities, prompting lawmakers to warn that the rollback could erode the early-2000s AML framework.

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Story summary

On August 13, 2026, the Financial Crimes Enforcement Network (FinCEN) exempted entities from Corporate Transparency Act reporting.
Treasury Secretary Scott Bessent called the exemption a victory for businesses, noting that a May 2025 Government Accountability Office report found over 99% of required entities are now exempt.
Senators Chuck Grassley and Elizabeth Warren warned the rollback undermines tools against illicit activity, human trafficking and sanctions evasion and benefits Elon Musk.

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