The Great Assets
  • Business
  • World News
  • Politics
  • Investing
  • Business
  • World News
  • Politics
  • Investing

The Great Assets

Business

Treasury ends enforcement of business ownership database meant to stop shell company formation

by admin March 4, 2025
March 4, 2025
Treasury ends enforcement of business ownership database meant to stop shell company formation

The U.S. Treasury Department announced it will not enforce a Biden-era small business rule intended to curb money laundering and shell company formation.

In a Sunday evening announcement, Treasury said in a news release that it will not impose penalties now or in the future if companies fail to register for the agency’s beneficial ownership information database that was created during the Biden administration.

Despite efforts by small businesses to undo the rule in the courts, it remains in effect.

On Sunday, President Donald Trump on his Truth Social media site praised the suspension of enforcement of the rule and said the database is “outrageous and invasive.”

“This Biden rule has been an absolute disaster for Small Businesses Nationwide,” he said. “The economic menace of BOI reporting will soon be no more.”

In September 2022, the Treasury Department started rulemaking to create a database that would contain personal information on the owners of at least 32 million U.S. businesses as part of an effort to combat shell company formations and illicit finance.

The rule required most American businesses with fewer than 20 employees to register their business owners with the government as of Jan. 1, 2024. Small businesses are targeted because shell companies, often used to hide illegally obtained assets, tend to have few employees.

Treasury officials, including former Treasury Secretary Janet Yellen, said the regulatory burden would be small, costing about $85 per business, but would offer benefits to law enforcement officials seeking to track down money launderers and other criminals. She said in January 2024 that more than 100,000 businesses had filed beneficial ownership information with Treasury.

The rule and its legislative authority — the Corporate Transparency Act, an anti-money laundering statue passed in 2021 — have been mired in litigation. In 2022, a small business lobbying group sued to block the Treasury Department’s requirement that tens of millions of small businesses register with the government. On Feb. 27, Treasury’s Financial Crimes and Enforcement Network said it would not take enforcement actions against companies that do not file beneficial ownership data with the agency.

Business leaders cite privacy and security concerns about the database and say it is duplicitous to other government agencies that maintain corporate databases.

“This is a victory for common sense,” said U.S. Secretary of the Treasury Scott Bessent on Sunday. “Today’s action is part of President Trump’s bold agenda to unleash American prosperity by reining in burdensome regulations, in particular for small businesses that are the backbone of the American economy.”

This post appeared first on NBC NEWS

previous post
Trump wants to protect South Africa’s White farmers. But potential changes to trade privileges would hurt them
next post
Hempalta Corp. Announces Financial Results for Three Months Ended December 31, 2024

Related Posts

Sports bar chain Twin Peaks is going public....

February 1, 2025

As Trump eyes more tariffs, South Korea remains...

February 15, 2025

U.S. lawmakers move to ban China’s DeepSeek from...

February 7, 2025

Domino’s Pizza finally launches stuffed crust to keep...

March 5, 2025

Trump Media sues Brazil Supreme Court judge who...

February 20, 2025

Procter & Gamble to cut 7,000 jobs as...

June 9, 2025

SEC dropping crypto lawsuit, Coinbase says

February 22, 2025

Consumers are not lovin’ it: McDonald’s has its...

May 2, 2025

Lululemon shares drop 15% as CEO says inflation,...

March 29, 2025

Armenian organized crime rings charged with stealing $83...

May 23, 2025

    Join our mailing list to get access to special deals, promotions, and insider information. Your exclusive benefits await! Enjoy personalized recommendations, first dibs on sales, and members-only content that makes you feel like a true VIP. Sign up now and start saving!


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Editors’ Picks

    • 1

      Top 11 Countries by Rare Earth Metal Production

      February 27, 2025
    • 2

      Rare Earths Reserves: Top 8 Countries

      February 5, 2025
    • 3

      Capital One outage drags into Friday afternoon, leaving some customers without deposit access

      January 23, 2025
    • 4

      Bank of America CEO says financial industry will jump into crypto payments if regulators allow it

      January 23, 2025
    • 5

      Altech Batteries LtdCERENERGY Accredited Highest Possible Green Rating

      January 24, 2025
    • 6

      Netflix shares soar as company reports surging revenue, tops 300 million subscribers

      January 23, 2025
    • 7

      Altech – CERENERGY Accredited Highest Possible Green Rating

      January 24, 2025
    • About us
    • Contacts
    • Privacy Policy
    • Terms and Conditions
    • Email Whitelisting

    Disclaimer: thegreatassets.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2025 thegreatassets.com | All Rights Reserved