Small Business Audit Correction Act of 2026

This bill would change the Sarbanes-Oxley Act so that audits of certain small securities brokers and dealers are no longer covered by the audit rules of the Public Company Accounting Oversight Board (PCAOB). The exemption would apply to brokers and dealers that are privately held, do not hold customer money or securities, have no more than 150 registered persons, and are in good standing, which includes meeting capital rules and having no recent felony convictions or certain enforcement actions. These firms could instead meet their yearly audit requirement with an audit done under generally accepted auditing standards. Auditors would still have to be qualified and independent, and firms would still have to file exemption reports. The change would take effect 180 days after enactment, and regulators would have 180 more days to update their rules.

Full text and official record on Congress.gov

Sponsors

• J. French Hill Republican sponsor
• 1 cosponsors