What the End of BOI Reporting Means for Your Small Business

If your business is entirely owned by U.S. citizens or residents, this likely means you’re off the hook—but there are still a few things to double-check.

Understanding Beneficial Ownership Information (BOI) Reporting

The Corporate Transparency Act was designed to stop money laundering and other illegal financial activity by requiring companies to name their real owners. It applied to many small businesses, especially LLCs and corporations with fewer than 20 employees.

As of January 2024, businesses had to file these reports with FinCEN, a U.S. Treasury bureau. Failing to file came with fines or even criminal penalties. But that changed in March 2025.

What’s Changing Now

Here’s a quick summary of what’s different:

• Most U.S.-owned businesses are now exempt.
• Businesses with foreign owners or control still need to report.
• FinCEN has stopped enforcing BOI penalties for domestic-only companies.
• If you already filed a BOI report, it’s still on record—but no follow-up is needed unless your ownership changes.

This rule change is active now.

How This Affects You—Even If You Already Filed

Even if you already submitted your BOI report, you’re not in trouble. Here’s what it means:

• You don’t have to file again unless your ownership changes.
• Your info stays on record—FinCEN may still share it with law enforcement or banks.
• You may still want to document your exemption in case of future audits or changes in ownership.

Questions You Should Be Asking About the Corporate Transparency Act Repeal

Before you make any changes, ask yourself:

• Is my business fully U.S.-owned, or do I have any foreign investors?
• If I already filed, do I need to update or track anything else?
• Does this exemption apply to all my business entities, or just some?
• Does my business have any relationships with banks or investors that still require BOI reporting?

What You Can Do Next

This change offers a break from reporting headaches—but it’s still smart to take a few easy steps:

• Double-check your ownership structure to be sure you’re truly exempt. Talk to a Legal Pro if you’re unsure.
• Document your exemption—just in case rules shift again. Ask Rocket Copilot for information and templates for how to document an exception for your company’s records.
• Organize your past BOI filings so they’re easy to reference if needed.

BOI reporting may have eased for now, but transparency laws are always evolving. By asking the right questions and preparing early, you can stay compliant, avoid surprises, and focus on growing your business.