Treasury Department Suspends Enforcement of the Corporate Transparency Act Against U.S. Citizens and Domestic Reporting Companies

Update March 24, 2025: FinCEN Removes Beneficial Ownership Reporting Requirements for U.S. Companies and U.S. Persons, Sets New Deadlines for Foreign Companies

Consistent with the Treasury Department’s March 2, 2025 announcement, the Financial Crimes Enforcement Network (FinCEN) issued an interim final rule on March 21, 2025 that removes the requirement for U.S. companies and U.S. persons to report beneficial ownership information (BOI) to FinCEN under the Corporate Transparency Act.

In that interim final rule, FinCEN revised the definition of “reporting company” to mean only those entities that are formed under the law of a foreign country and that have registered to do business in the U.S. Therefore, entities created in the United States will be exempt from the requirement to report BOI to FinCEN.

Foreign entities that are reporting companies must file BOI reports within 30 days from March 21, 2025 (the date of issuance of the interim final rule) or 30 days from the date of notice of registration in the U.S.

For the next 60 days FinCEN is accepting comments on this interim final rule. FinCEN will assess the comments and whether there should be any amendments or exceptions to the rule. FinCEN intends to issue a final rule this year.

Original Article

The U.S. Treasury Department has suspended enforcement of the Corporate Transparency Act for all U.S. citizens and domestic reporting companies.

In a statement on March 2, 2025, the Treasury Department announced that it will not enforce the Corporate Transparency Act’s reporting rule under the existing regulatory deadlines nor after the forthcoming rule changes take effect. The announcement went on to state, “The Treasury Department will further be issuing a proposed rulemaking that will narrow the scope of the rule to foreign reporting companies only.”

The full announcement can be found here.

As always, the Woods Rogers Corporate & Business Transactions attorneys and Business Services professionals will monitor the situation and provide updates as needed. View our previous updates here.