Overview

Title

To repeal the Corporate Transparency Act.

ELI5 AI

The bill S. 100 wants to stop a rule that makes businesses tell more about who owns them, which is supposed to help fight bad secret money moves. It's like undoing a rule that tries to make sure things are fair and clear about who owns big companies.

Summary AI

S. 100 proposes the repeal of the Corporate Transparency Act, which was part of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021. This bill, introduced in the Senate, seeks to eliminate the existing requirements and amendments related to corporate transparency, as detailed in Title LXIV of the aforementioned Act. Additionally, it includes technical and conforming amendments to Title 31 of the United States Code and the Anti-Money Laundering Act of 2020 to reflect the removal of these provisions.

Published

2025-01-15
Congress: 119
Session: 1
Chamber: SENATE
Status: Introduced in Senate
Date: 2025-01-15
Package ID: BILLS-119s100is

Keywords AI

corporate transparency act repeal anti-money laundering title 31 technical amendments s. 100 senate bill william m. (mac) thornberry national defense authorization act conforming amendments 119th congress

Sources

Bill Statistics

Size

Sections:
2
Words:
520
Pages:
3
Sentences:
10

Language

Nouns: 175
Verbs: 26
Adjectives: 3
Adverbs: 1
Numbers: 37
Entities: 59

Complexity

Average Token Length:
3.39
Average Sentence Length:
52.00
Token Entropy:
4.48
Readability (ARI):
23.27

AnalysisAI

General Summary of the Bill

The proposed bill, designated as S. 100, seeks to repeal the Corporate Transparency Act (CTA). Introduced by Mr. Tuberville and numerous co-sponsors, the bill was presented to the Senate on January 15, 2025. If passed, it would eliminate the CTA, which was originally enacted as a part of the National Defense Authorization Act for Fiscal Year 2021. The bill also includes technical adjustments to other parts of United States law to reflect the removal of the CTA.

Summary of Significant Issues

One of the main concerns regarding this bill is the lack of explanation or justification for repealing the Corporate Transparency Act. Without a clearly stated reason, the repeal may seem politically motivated rather than being in the public's best interest. This absence of rationale is a significant transparency issue itself.

Furthermore, the bill includes complex legal amendments within existing U.S. statutes, particularly in Titles 31 and LXV, but does not provide an analysis of the potential impacts. This absence makes it challenging for both lawmakers and the public to understand how the repeal would affect anti-money laundering efforts and corporate accountability.

Impact on the Public

Broadly, the repeal of the Corporate Transparency Act could have mixed impacts on the public. On one hand, some businesses may favor the lack of stringent reporting requirements that the CTA imposes, thereby reducing operational paperwork and potentially accelerating business processes. However, from a broader societal perspective, removing such transparency requirements might hinder efforts to combat financial crimes, including money laundering and tax evasion, which can negatively impact public resources and economic stability.

Impact on Specific Stakeholders

For businesses, particularly smaller entities and startups, the repeal might be seen positively as it could reduce administrative burdens and compliance costs associated with meeting CTA requirements. Conversely, law enforcement agencies and organizations focused on corporate accountability might view this negatively, as repealing the CTA could limit their ability to track illicit financial activities.

Financial institutions and businesses operating in the financial services sector might face increased risk, as the transparency rollback could allow for more covert financial operations. This may create challenges in risk management and compliance with global anti-money laundering standards.

In conclusion, while the bill aims to simplify certain legal structures, the lack of clarity and justification raises concerns about its true motivations and potential negative impacts on transparency and corporate accountability. Moving forward, more comprehensive analysis and public debate are necessary to fully understand and evaluate the consequences of repealing the Corporate Transparency Act.

Issues

  • The section on the repeal of the Corporate Transparency Act (Section 2) lacks justification or explanation for its necessity. This absence of transparency can make the bill appear politically motivated and not in the public interest.

  • The bill makes technical and conforming amendments without estimating potential impacts, positive or negative, making it difficult to assess the full effect of the bill, especially on anti-money laundering efforts (Section 2).

  • The bill's references to complex legal amendments in titles 31 and LXV might be difficult for stakeholders and the general public to understand, thereby potentially reducing informed public debate (Section 2).

  • The automatic repeal of the Corporate Transparency Act could have unintended consequences on corporate accountability and transparency, affecting efforts to combat illicit financial activities (Section 2).

Sections

Sections are presented as they are annotated in the original legislative text. Any missing headers, numbers, or non-consecutive order is due to the original text.

1. Short title Read Opens in new tab

Summary AI

The first section of the bill states that the official short title for the Act is the “Repealing Big Brother Overreach Act.”

2. Repeal Read Opens in new tab

Summary AI

The section repeals the Corporate Transparency Act and makes related technical changes to Title 31 of the United States Code and the Anti-Money Laundering Act of 2020, eliminating certain subsections and references to sections that are no longer applicable.