Mid City Times

Today, Congressman Roger Williams from Texas led a group of 11 members in addressing a letter to U.S. Department of Treasury Secretary Janet Yellen and Financial Crimes Enforcement Network Director Andrea Gacki. The letter expressed concerns about the Beneficial Ownership Information (BOI) reporting requirements under the Corporate Transparency Act (CTA), which are expected to impact small businesses across the nation.

Congressman Williams highlighted a significant issue in his statement: “Only 14.2% of small businesses in Texas have submitted compliance with the BOI rule. This alarmingly low compliance rate highlights this critical problem: many small business owners are unaware of these reporting requirements or are struggling to navigate BOI’s complexity.” He suggested that instead of penalizing small businesses, FinCEN should consider repealing the BOI requirements or take steps to ensure businesses can comply.

The National Federation of Independent Business (NFIB) also raised concerns about the impending penalties for non-compliance with the Corporate Transparency Act. They stated, “In less than a month, tens of millions of law-abiding small businesses face the threat of significant fines and prison time for not complying with a law they have never heard of. These penalties from the Corporate Transparency Act will hammer small businesses that are still suffering from high inflation and energy costs, pervasive workforce shortages, and $1.8 trillion of new regulatory costs.”

The letter was signed by several representatives including Monica De La Cruz, Pete Sessions, Dan Crenshaw, Jake Ellzey, August Pfluger, Keith Self, Randy Weber, Chip Roy, Kay Granger, Ronny L. Jackson, and Jodey Arrington.

FinCEN requires small businesses to report their beneficial owners starting January 1st, 2024. With only 14% compliance reported recently in Texas, Congressman Williams urges an extension or restructuring of these requirements.

Congressman Roger Williams serves as Chairman of the House Small Business Committee and is a member of the House Financial Services Committee. He represents Texas's 25th Congressional District.