U. S Treasury Suspends BOI Reporting Enforcement—Here’s What’s Next
- Marino Tax Solutions
- Mar 11
- 3 min read
The U.S. Treasury Department has made a major announcement that affects businesses nationwide: it will no longer enforce the Beneficial Ownership Information (BOI) reporting requirements under the Corporate Transparency Act (CTA). This move is intended to ease regulatory burdens on domestic businesses, but what does it mean for you? Let’s break it down.
Understanding BOI Reporting and the CTA
The Corporate Transparency Act (CTA) was enacted in 2021 as part of an effort to combat financial crimes such as money laundering and tax fraud. Under this law, businesses meeting specific criteria were required to disclose their beneficial owners to the Financial Crimes Enforcement Network (FinCEN). The goal was to create transparency in corporate structures and limit the use of shell companies for illicit purposes.
However, the Treasury Department’s recent decision has changed the course of enforcement, at least for now.
Why Did the Treasury Department Halt BOI Reporting Enforcement?
On March 2, 2025, the Treasury Department announced that it would suspend enforcement of the BOI reporting requirements for U.S. citizens and domestic reporting companies. This decision comes amid concerns that the reporting obligations placed an undue burden on small businesses and created unnecessary compliance costs. Additionally, ongoing legal challenges have called the constitutionality of the Corporate Transparency Act into question.
For now, businesses are not required to file BOI reports, and no penalties or fines will be imposed for noncompliance.
Who Is Affected by This Decision?
U.S. Small Businesses & Domestic Entities: Businesses that were previously required to submit BOI reports will no longer face penalties for failing to do so.
Foreign Reporting Companies: The Treasury Department has indicated that future rulemaking may shift the focus of BOI reporting exclusively to foreign entities.
Business Owners Seeking Compliance Guidance: While enforcement is on hold, it remains crucial for businesses to stay informed about potential future reporting requirements.
Potential Future Changes
While the suspension of BOI reporting enforcement is a relief for many businesses, the Treasury Department has stated that it plans to revisit the rule. There’s a possibility that:
A revised rule could exclude domestic entities from BOI reporting permanently.
Enforcement could resume if legal challenges against the CTA are resolved.
Foreign-owned entities may remain the primary focus of BOI reporting regulations.
Why Marino Tax Solutions?
The Treasury Department’s decision to suspend BOI reporting enforcement under the Corporate Transparency Act provides temporary relief for U.S. businesses, but this may not be the final word on the matter. Business owners should stay informed and be ready to adjust if reporting obligations are reinstated.
At Marino Tax Solutions we are committed to informing you about the latest tax policies and programs, including updates on the BOI reporting, to ensure our clients receive accurate guidance for making informed financial choices.
Curious about how these tax changes could impact your personal or business finances? Marino Tax Solutions is here to assist you. Contact us today for a Free Consultation and customized tax planning solutions to help you stay ahead and capitalize on these new opportunities.
Disclaimer: The information provided in this blog is for general informational purposes only and should not be considered tax advice. Tax laws are complex and subject to change. Please consult with a tax professional like Marino Tax Solutions to discuss your specific circumstances.
