Admin - 05:00 pm -
July 14th, 2026 
On June 29, 2026, NEFI joined a coalition of over 60 trade associations in a letter addressed to Senate Majority Leader John Thune (R-SD) and Speaker of the House Mike Johnson (R-LA), asking for Congress to pass concrete legislation exempting Beneficial Ownership Information (BOI) mandates for small businesses.
This BOI requirement was originally created under the Corporate Transparency Act as a part of the NDAA in FY2021. It requires businesses to disclose names of their owners to the Treasury Department's Financial Crimes Enforcement Network (FinCEN). While the mandate was created to reduce money laundering, shell-companies, and other illicit activity, it has created a compliance burden for small businesses that do not have bandwidth to handle these filing and compliance issues. This mandate disproportionately affected 32.6 million small businesses, exposing owners to penalties of up to $10,000 and two years in prison for noncompliance.
In March 2025, Treasury issued an interim final rule which exempted over 32 million domestic small businesses from this BOI reporting in the largest deregulatory action of 2025. A future administration could reverse this Treasury rule, which saved small businesses over $128 billion in regulatory and compliance costs. The letter urges Congress to ratify the exemption through a BOI repeal (S. 100 and H.R. 425) or by making the Treasury’s rule into law. The coalition pushes for this BOI issue to be attached to the FY2027 National Defense Authorization Act (NDAA). The letter also thanks Majority Leader Thune and Speaker Johnson for their small business support, specifically the Working Families Tax Cuts Act which provided benefits like the 20% Small Business Deduction.
A permanent solution to these BOI mandates will mean protections from future millions in compliance costs and security for small business operations for our members.
NEFI will continue to advocate on your behalf on this issue. If you have any questions, contact NEFI Regulatory Counsel Rick Schweitzer, at rpschweitzer@rpslegal.com.
