The American Dental Association joined 150 other trade organizations in a push for the passage of legislation that would delay the Corporate Transparency Act's filing deadline.
Currently, many small businesses, including dental practices, have less than one year to file beneficial ownership information reports to the U.S. Department of the Treasury’s Financial Crimes Enforcement Network before being subject to penalties, according to a Sept. 10 news release.
Here are seven notes for dentists on the act and potential legislation to delay its effects:
- Dental practices must report to the U.S. Department of the Treasury’s Financial Crimes Enforcement Network if they either have fewer than 20 employees or generate less than $5 million in gross receipts annually.
- Rep. Zachary Nunn of Iowa introduced HR 9278, which would give small businesses an additional year to file the necessary reports.
- The enforcement network has received 10% of required submissions from businesses, according to a letter from the coalition.
- The House of Representatives passed a similar resolution to extend the time frame last year, but it is stalled in the Senate.
- The Corporate Transparency Act was passed to cut down on money-laundering operations acting as small businesses.
- The ADA and a coalition of more than 120 organizations asked Congress to pause the requirements in March.
- The Corporate Transparency Act was ruled unconstitutional by a judge in the U.S. District Court for the Northern District of Alabama earlier this year.