From staff reports OKLAHOMA CITY – State Treasurer Todd Russ expressed angst last week after the U.S. Supreme Court decided to allow enforcement of the Corporate Transparency Act (CTA).
This federal requirement orders owners of more than 32.6 million small businesses nationwide to register personal information, including photo IDs and home addresses, with the Financial Crimes Enforcement Network (FinCEN) under the Treasury Department.
“This decision is yet another burdensome regulation that will negatively impact small business owners,” Russ said. “The intention of the law – to track down money launderers – is not being carried out by targeting large, complex organizations where such activities occur. Instead, it is hitting mom-and-pop businesses the hardest, adding unnecessary compliance costs and confusion as well as concerns to right of privacy.”
The new reporting requirement is opposed by small business advocates and state leaders, who argue that it creates significant obstacles for small businesses while offering little value in combating financial crimes.
“This is one more tool that creates confusion,” Russ said. “Rather than promoting transparency, it stifles entrepreneurship, discourages small business growth, and ultimately hinders economic development in our state. Small businesses are the backbone of Oklahoma’s economy, and these measures threaten their ability to thrive.”
The National Small Business Association and other advocates have called for Congress to delay or repeal the CTA, citing concerns over the lack of clarity and its disproportionate impact on smaller enterprises. Many businesses are still uncertain about how to comply with the new requirements.
“Oklahoma values its entrepreneurs and small business owners,” Russ said. “We will continue to advocate for a balanced approach that addresses financial crimes without penalizing the very people driving our local economies. This decision is not the end of the conversation, and we urge Congress and the President to reconsider the impact of this mandate.”