Treasury Halts Enforcement of Corporate Transparency Act Reporting Rules

The U.S. Treasury announced a shift in policy, limiting Beneficial Ownership Information requirements to foreign companies while Congress considers changes to the law.

The Treasury Department has suspended enforcement of Beneficial Ownership Information (BOI) reporting requirements for U.S. businesses under the Corporate Transparency Act (CTA).
Proposed rule changes will narrow the scope of reporting to foreign companies, though specifics on applicability remain unclear.
The announcement follows bipartisan concerns about the overreach of the CTA and ongoing legal challenges questioning its constitutionality.
Millions of U.S. companies had already submitted BOI data, raising questions about the handling of previously collected information.
Critics argue the policy shift undermines efforts to combat money laundering and criminal activity, while supporters praise the relief it provides to small businesses.