Treasury Permanently Removes Corporate Transparency Act Reporting Requirement for US Companies

The US Treasury Department issued a final rule on August 15, 2026, permanently removing the requirement for US companies and persons to report beneficial ownership information to the Financial Crimes Enforcement Network, known as FinCEN.

The Corporate Transparency Act, passed in 2021, had required millions of small businesses to file detailed ownership information with FinCEN as part of an effort to combat money laundering, tax fraud, and other financial crimes. The law required companies to disclose the names, addresses, dates of birth, and identification numbers of their beneficial owners.

The reporting requirement had faced significant pushback from small business groups, who argued it created an unnecessary compliance burden. Legal challenges also delayed enforcement at various points since the law took effect.

The Treasury's final rule eliminates the reporting obligation going forward. The department said the decision reflects a broader effort to reduce regulatory burdens on American businesses.

Critics of the rollback said the reporting requirement was a key tool for law enforcement to track shell companies and illicit financial flows. Transparency advocates warned that removing the requirement would make it easier for bad actors to hide assets and evade accountability.

The rule is part of a series of regulatory changes the Treasury has made in 2026, including proposed guidance on Trump Accounts and updates to rules governing employer-sponsored retirement plans. Financial advisors said businesses that had already filed beneficial ownership reports should consult legal counsel about their obligations under the new rule.