Why do companies have to report beneficial ownership information (BOI) to the U.S. Department of the Treasury?

In 2021, Congress passed the Corporate Transparency Act on a bipartisan basis. This law creates a new beneficial ownership information reporting requirement as part of the U.S. government’s efforts to make it harder for bad actors to hide or benefit from their ill-gotten gains through shell companies or other opaque ownership structures.

For more information about Beneficial Ownership Information Reporting, you can visit the FinCEN FAQs.