FinCEN Ends Beneficial Ownership Reporting for US Companies

The U.S. Treasury's Financial Crimes Enforcement Network (FinCEN) has issued a final rule that permanently exempts all U.S. companies and persons from the beneficial ownership information (BOI) reporting requirements of the Corporate Transparency Act (CTA). The rule, effective August 14, 2026, makes permanent the exemptions introduced in a March 2025 interim rule. This action represents a monumental reversal of a major compliance regime that was expected to affect over 32 million U.S. entities. Following a series of constitutional challenges and injunctions against the CTA, FinCEN has now narrowed the reporting obligation to only foreign companies registered to do business in the United States. The agency estimates only 28,000 entities will now be required to report. Furthermore, FinCEN announced it will delete all BOI previously reported by U.S. persons from its database. While this relieves domestic companies of a significant burden, foreign entities operating in the U.S. must still evaluate their reporting obligations for non-U.S. beneficial owners.