To amend the Sarbanes-Oxley Act of 2002 to exclude the audits of privately held, non-carrying brokers and dealers that are in good standing from certain requirements under title I of that Act, and for other purposes.

HR10477, introduced by Rep. Hill (R-AR) on September 17, 2026, was referred to the House Committee on Financial Services. The bill would amend the Sarbanes-Oxley Act of 2002 to exclude audits of privately held, non-carrying brokers and dealers in good standing from Title I requirements (auditor independence, audit committees, etc.). This is a narrow regulatory relief measure for small broker-dealers that do not hold customer funds or securities. The bill is in its earliest legislative stage with no cosponsors and no committee action. No funding is authorized or appropriated. The affected sector is Finance, but the exemption applies only to entities that are not publicly traded. Publicly traded broker-dealers (e.g., $SCHW, $IBKR, $RJF, $LPLA) are carrying brokers and are publicly held, so they are not covered. Large banks with broker-dealer subsidiaries (e.g., $JPM, $GS, $MS) have carrying subsidiaries that are not privately held. Even if a subsidiary were privately held, the cost savings would be immaterial relative to parent revenue. Therefore, no publicly traded company is materially affected. The legislative path is uncertain; early-stage bills with no cosponsors rarely advance. No convergence with other signals. Market implications are negligible.