H.R. 1799 — Financial Reporting Threshold Modernization Act

This section updates Bank Secrecy Act reporting thresholds as follows: (1) directs the Secretary of the Treasury to revise regulations under sections 5313 and 5315 to increase the currency transaction report threshold to $30,000 (from $10,000) and amends section 5331 to increase the nonfinancial trade or business cash receipt report threshold to $30,000 (from $10,000); (2) directs federal agencies regulating suspicious activity reports under section 5318(g) to increase thresholds to $10,000 (from $5,000) and $3,000 (from $2,000); and (3) directs the Secretary to revise money services business definition regulations (31 CFR 1010.100(ff)) to increase thresholds to $3,000 (from $1,000). All updates must occur within 180 days of enactment, with subsequent inflation adjustments every five years based on the Consumer Price Index for All Urban Consumers (rounded to the nearest $500). (Thus, these changes reduce immediate reporting requirements for transactions below the new thresholds.) This section further directs the Secretary of the Treasury, within 360 days of enactment and in consultation with stakeholders and law enforcement, to review currency transaction, international transportation, and suspicious activity report forms and requirements under sections 5313, 5315, and 5318; update them as necessary; conduct reviews required by the Anti-Money Laundering Act of 2020; and report results and recommendations to the Senate Committee on Banking, Housing, and Urban Affairs and the House Committee on Financial Services.

This section updates thresholds for currency transaction reports, suspicious activity reports, and money services businesses. It revises regulations under section 5313 of title 31, United States Code, to increase each $10,000 threshold to $30,000 within 180 days of enactment, with subsequent updates every 5 years to reflect changes in the Consumer Price Index for All Urban Consumers. (1) It amends section 5331 to replace each $10,000 threshold with $30,000 and adds a requirement for the Secretary of the Treasury to update the figures every 5 years for inflation. (2) It directs Federal agencies to revise regulations under section 5318(g) to increase each $5,000 threshold to $10,000 and each $2,000 threshold to $3,000 within 180 days of enactment. (3) It updates each $1,000 threshold in the money services business definition at 31 CFR 1010.100(ff) to $3,000 within 180 days of enactment.