Interim final rule removes BOI reporting requirements for U.S. companies

The Treasury issued an interim final rule removing the requirement for U.S. companies and U.S. persons to report beneficial ownership information (BOI) to the Financial Crimes Enforcement Network (FinCEN) under the Corporate Transparency Act. This follows Treasury’s March 2 announcement that it will not enforce penalties or fines associated with the BOI reporting rule. 

Through this interim final rule, all entities created in the U.S. — including those previously known as “domestic reporting companies” — and their beneficial owners will be exempt from the requirement to report BOI to FinCEN. 

Foreign entities that meet the new definition of a “reporting company” and do not qualify for an exemption from the reporting requirements must report their BOI to FinCEN under new deadlines, but  will not be required to report any U.S. persons as beneficial owners, and U.S. persons will not be required to report BOI with respect to any such entity for which they are a beneficial owner.

FinCEN is accepting comments on this interim final rule and intends to finalize the rule this year.