Report: Ownership Information Related to Corporate Transparency Act to be Destroyed

DOWNERS GROVE, ILLINOIS (September 26, 2025) – The Financial Crimes Enforcement Network (FinCEN) announced plans to destroy Beneficial Ownership Information (BOI) data related to the Corporate Transparency Act and issue a final rule following a significant push from members of Congress to protect small businesses, according to a report from the National Federation of Independent Businesses (NFIB).

Owners who previously submitted this data under threat of fines and jail time had serious security concerns about potential leaks of their sensitive information. 

FinCEN’s announcement came just hours after congressional action from Sen. Jim Banks, Congressman Warren Davidson, and 85 others who urged FinCEN to destroy previously obtained small business data and expedite the final rule to exempt small businesses from having to file ownership information.   

NFIB said one of its top priorities has been repealing the beneficial ownership reporting mandate since the passage of the Corporate Transparency Act in 2021, which required businesses with fewer than 20 employees and $5 million or less in annual revenue to register private information or face up to two years in jail and $10,000 in fines. Small business owners’ data was then stored in new and untested online databases with significant cybersecurity concerns, according to NFIB.