Lawmakers Call for Delaying FinCEN’s BOI Reporting Rule

A mostly Republican group of 44 House members urged the Treasury Department this month to push back implementation of the Financial Crimes Enforcement Network’s new beneficial ownership information (BOI) reporting rule.

In a letter to Treasury Secretary Janet Yellen and FinCEN Director Andrea Gacki, the lawmakers said small businesses need more time to comply with the rule's reporting requirements and avoid potential penalties. They said FinCEN has received only 10% of the required submissions even though the reporting deadline is nearing.

"This compliance rate can be attributed directly to the general lack of awareness among the small business community when it comes to the new rules," the lawmakers wrote. "Given this massive education gap, it is clear additional time is needed for regulators and other stakeholders to continue their outreach to affected small businesses."

The letter was led by Rep. Lisa McClain, R-Mich., who is slated to become chair of the House Republican Conference in January.

The rule, which is designed to help the government prevent sanctioned parties and others from hiding money or property in the U.S., calls for most companies to submit BOI reports by Jan. 1, 2025. Yellen told a House committee in July that Treasury has no plans to extend the deadline (see 2407090053).