Bill Passes the House of Representatives to Extend FinCEN Reporting to Next Year

On Monday, February 10, 2025, the House of Representatives passed H.R. 736, the Protect Small Businesses from Excessive Paperwork Act (the “Bill”). According to the Congressional explanation, [The Bill extends the deadline for certain companies that are required to file beneficial ownership information with the Financial Crimes Enforcement Network (FinCEN). Specifically, the Bill required companies formed or registered before January 1, 2024, to submit this information to FinCEN by January 1, 2026, instead of by January 1, 2025, as required under current regulations.] The Bill was passed unanimously and with bipartisan support from both Republicans and Democrats (408-0). It is anticipated that the Senate will promptly pass the same.

We note that the January 7, 2025 nationwide injunction in the Samantha Smith v. U.S. Department of the Treasury is still in effect and FinCEN reporting remains voluntary at this time.

We expect more developments regarding the Bill in the coming days.