The U.S. House of Representatives has passed the Protect Small Business from Excessive Paperwork Act, H.R. 736, in a bipartisan vote. The legislation, which delays the Beneficial Ownership Information reporting requirement by one year, provides temporary relief to small businesses navigating compliance challenges.
The Irrigation Association supports this effort to ease the regulatory burden on small businesses and continues to advocate for a full repeal of the CTA.
Enacted in 2021, the CTA requires millions of small businesses to disclose detailed ownership information to the Financial Crimes Enforcement Network. While intended to prevent financial crimes, the law has faced widespread criticism for imposing excessive paperwork and compliance costs on legitimate businesses — many of which are already navigating complex regulatory challenges.
The Protect Small Business from Excessive Paperwork Act would exempt many small businesses from these reporting requirements and has now moved to the Senate for consideration.
