Reporting Company
What a reporting company is under the Corporate Transparency Act and which entities must file beneficial ownership reports.
2 min read
A reporting company is any entity required to file beneficial ownership information (BOI) reports with FinCEN under the Corporate Transparency Act.
Who Is a Reporting Company
Domestic Reporting Companies
- Corporations
- Limited liability companies (LLCs)
- Any entity created by filing with a secretary of state or similar office
Foreign Reporting Companies
- Entities formed under foreign law
- Registered to do business in any US state
Exemptions
The CTA includes 23 exemptions for entities already subject to substantial regulation:
| Exemption Category | Examples |
|---|---|
| Regulated financial entities | Banks, credit unions, broker-dealers |
| Registered entities | SEC registrants, investment advisors |
| Insurance | Licensed insurance companies |
| Tax-exempt | 501(c) organizations |
| Large operating companies | >20 employees, >$5M revenue, US physical presence |
| Inactive entities | Existed before 2020, no assets, no business activity |
| Government entities | Federal, state, tribal, local governments |
Reporting Company and KYB
For KYB, understanding reporting company status helps:
- Verify compliance: Is the business meeting its CTA obligations?
- Assess risk: Non-compliance may signal broader regulatory issues
- Understand exemptions: Regulated entities may have stronger existing compliance