Beginning January 1, 2024, a significant number of businesses are required to comply with the Corporate Transparency Act (CTA). The CTA requires the disclosure of the beneficial ownership information (otherwise known as “BOI”) of certain entities from people who own or control a company.

In a release dated Feb 27, 2025, the Financial Crimes Enforcement Network (FinCEN) announced it will extend the current March 21 beneficial ownership information (BOI) reporting deadline, has suspended BOI enforcement, and will develop new regulations it says will reduce “regulatory burden.”

The decision to pause enforcement prioritizes “reporting of BOI for those entities that pose the most significant law enforcement and national security risks.”

FinCEN didn’t announce a new reporting deadline but said it would do so by March 21.

Below is a link to the Financial Crimes Enforcement Network’s guidance on this reporting requirement, as well as the latest information on the updated deadlines.

Small Business Resources | FinCEN.gov

As a further update, there is also activity in Congress aimed at further extending the filing deadline. On February 17, the House unanimously passed bill HR 736, which would extend the BOI filing deadline to January 1, 2026. A companion bill was introduced in the Senate the next day. We will be closely monitoring this legislation and provide future updates as it progresses.

The intent of the BOI reporting requirement is to help US law enforcement combat money laundering, the financing of terrorism and other illicit activity. The CTA is not a part of the tax code. Instead, it is a part of the Bank Secrecy Act, a set of federal laws that require record-keeping and report filing on certain types of financial transactions. Under the CTA, BOI reports will not be filed with the IRS, but with the Financial Crimes Enforcement Network (FinCEN), another agency of the Department of Treasury.

The information to be reported arises from determinations that are primarily legal in nature. As WebsterRogers is not engaged in the practice of law, we are not able to assist in preparing or submitting this report. We encourage you to consult with your legal counsel as to how to comply with these filing requirements and the timing of them. If you do not have legal counsel, there are various service providers offering assistance with BOI reporting. Please call your contact at WebsterRogers if you would like more information.