This week, the House will also push forward a controversial, but bipartisan bill aimed at preventing wrongdoers from exploiting United States corporations and limited liability companies (LLCs) for criminal gain. ABC believes this bill would create an undue burden on small businesses and has worked with a coalition of employer organizations led by the National Federation for Independent Business (NFIB) to oppose this legislation. See attached letter for additional information on this bill.
The current legislation would require that nearly every small business with fewer than 20 employees collect information and file reports with the Treasury Department’s Financial Crimes Enforcement Network (FinCEN) on all owners of the business. This information would have to be updated annually. Failure to comply with this legislation would be a federal crime, with businesses facing steep civil fines of up to $10,000, and even criminal penalties of up to three years in prison.
The bill would also raise privacy concerns by granting broad access to personal information that could be used by federal, state, local, or tribal law enforcement agencies for just about any reason — and without a subpoena.