FinCEN Permanently Exempts U.S. Dental Practices From Ownership Reporting

Edited by Orthotown staff

Dental practices formed in the United States are permanently exempt from beneficial ownership reporting under the Corporate Transparency Act, under a final rule the Treasury Department’s Financial Crimes Enforcement Network announced Aug. 11 and published Aug. 14.

The rule makes permanent in regulation the exemptions FinCEN first set out in an interim final rule in March 2025, which had already relieved U.S.-created companies, dental practices among them, of their filing obligations. The rule took effect on publication.

Practices created in the United States do not need to file beneficial ownership information reports or update or correct reports already filed. U.S. persons who obtained FinCEN identifiers no longer need to update or correct the information tied to them. FinCEN said it will delete previously submitted information about U.S. companies and U.S. persons that is no longer required, that businesses and individuals do not need to request deletion, and that it will announce when the process is complete.

Foreign entities that qualify as reporting companies still have obligations for non-U.S. beneficial owners and company applicants, subject to the rule’s exemptions.

The ADA had pressed for the relief, joining small business coalitions that lobbied Congress, backing efforts to delay filing deadlines and penalties, and saying in December 2024 that it would keep working toward a permanent solution. In a 2024 coalition letter, the ADA and more than 120 other trade associations argued that a law meant to combat illicit finance had turned into a bureaucratic burden aimed at the country’s smallest businesses.

Under the original requirements, which took effect Jan. 1, 2024, practices with fewer than 20 employees or less than $5 million in annual gross receipts were subject to reporting. Required details about beneficial owners included names, dates of birth, residential addresses, and identifying information from a driver’s license, passport, or state identification card. Willful violations carried civil and criminal penalties.

The Corporate Transparency Act remains law, and the exemption could be revisited. Sens. Chuck Grassley, R-Iowa, and Sheldon Whitehouse, D-R.I., who helped develop the legislation that became the act, criticized the final rule Aug. 13, arguing that exempting U.S. companies undercuts what Congress intended.

Sources:
ADA News, “FinCEN permanently ends beneficial ownership reporting requirements for U.S. small businesses,” Aug. 14, 2026: adanews.ada.org/2026/august/fincen-permanently-ends-beneficial-ownership-reporting
Financial Crimes Enforcement Network, “Beneficial Ownership Information Reporting Requirement Revision,” final rule, 91 FR 52508, Aug. 14, 2026: federalregister.gov/documents/2026/08/14/2026-16576