A coalition of more than 120 organizations has asked Congress to pause requirements for small businesses to file ownership reports under the Corporate Transparency Act.
Dental practices are subject to the requirements of the act if they employ fewer than 20 people or generate less than $5 million in annual revenue, according to a March 25 news release from the American Dental Association.
The Corporate Transparency Act requires certain small businesses to report specific requirements about beneficial owners to the U.S. Department of the Treasury's Financial Crimes Enforcement Network in an attempt to reduce money-laundering operations acting as businesses.
The coalition is calling for the passage of the Protect Small Business and Prevent Illicit Financial Activity Act, which would delay the filing deadline and penalties of the Corporate Transparency Act by one year.
The Corporate Transparency Act was recently ruled unconstitutional by a judge in the U.S. District Court for the Northern District of Alabama.
The delay would allow the courts to reach a conclusion through the Appellate and Supreme Courts, while also giving businesses more time to fully understand the rules of the Corporate Transparency Act, the release said.