HARDI Joins Coalition Letter Supporting Small Business Tax Certainty and BOI Relief

HARDI recently joined a coalition letter urging congressional leaders to protect small businesses from the return of burdensome beneficial ownership information reporting requirements and to build on recent tax and regulatory relief.

The coalition highlights the importance of maintaining recent relief from the beneficial ownership information, or BOI, reporting mandate. In March 2025, the Treasury Department exempted more than 32 million American businesses from the reporting requirement. According to the letter, that action saved small businesses from more than $128 billion in regulatory costs and compliance burdens.

However, the coalition warns that the relief is temporary unless Congress acts to make it permanent. Without a legislative fix, future administrations could revive the BOI mandate, bringing back costly compliance obligations and significant penalties for small businesses.

The letter urges Congress to prioritize either full repeal of the BOI reporting provisions or legislation to codify Treasury’s exemption for U.S. businesses. It specifically points to the National Defense Authorization Act as a potential vehicle to address the issue, since the BOI reporting mandate was originally enacted through the NDAA. Unfortunately, an amendment to repeal the BOI reporting requirement was not allowed by the House Rules Committee.

For HARDI members, this issue is directly tied to the broader challenge of operating in a complex regulatory environment. Many HVACR distributors are family-owned or closely held businesses that do not have large legal or compliance departments. New reporting mandates can create additional costs, paperwork, and uncertainty, taking time and resources away from serving customers, supporting contractors, and running day-to-day operations.

HARDI will continue to work with our coalition partners to find a permanent fix for the BOI reporting requirement.

Read the full text of the letter here.

Questions?

If you have questions, please reach out to Alex Ayers.

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