Today, the National Review published an opinion piece by Brad Close, President of the National Federation of Independent Business (NFIB), calling for Congress to repeal the Beneficial Ownership Information (BOI) Reporting Requirement. Close argues that this mandate is unnecessary and invasive, posing a threat of imprisonment and heavy fines for 32 million small business owners in the United States.
Close states, "More than 32 million small businesses are staring down the barrel of a gun known as the Beneficial Ownership Information (BOI) Reporting Requirement." He explains that under a federal law passed in 2021, small businesses must submit personal information to a new federal database. Failure to comply could result in up to two years in prison and $10,000 in fines.
He further comments on privacy concerns: "Small businesses shouldn’t be forced to hand over more personal data to the federal government. They already file plenty of reports with federal agencies, state agencies, and local governments." Close highlights that multiple federal bureaucracies and law enforcement agencies can access this database without needing a subpoena or warrant.
The NFIB has opposed this mandate from its inception. Last December, they filed a lawsuit leading to a temporary block by a federal court. Although the Supreme Court later allowed it to proceed, Close notes that "the Trump administration quickly announced in March that it will not enforce this onerous mandate."
In September, FinCEN said it would destroy collected BOI data by year-end and issue rules exempting U.S. small businesses from these requirements. Close credits these developments to efforts by the Trump administration but stresses that congressional action is necessary: "Main Street’s only hope is for Congress to repeal this mandate and remove it from the books forever."
The full op-ed can be read at National Review's website.
Information from this article can be found here.
