SBA Demands 3 Years of Tax Returns From EDWOSBs as Scrutiny Spreads Beyond 8(a)
Updated
Updated · Federal News Network · Jun 12
SBA Demands 3 Years of Tax Returns From EDWOSBs as Scrutiny Spreads Beyond 8(a)
2 articles · Updated · Federal News Network · Jun 12
Summary
June 30 is the deadline SBA gave economically disadvantaged women-owned small businesses to submit a survey and three years of personal and business tax returns for a program examination.
The agency said it is verifying whether women owning at least 51% of each firm still meet EDWOSB economic-disadvantage rules, extending a tougher compliance push already used in the 8(a) program.
That 8(a) review hit more than 4,300 firms last December and led to over 1,100 suspensions and 154 terminations, while SBA also proposed new 8(a) entry rules that would require fact-based proof of social disadvantage.
Some contractors questioned why sensitive financial data is being collected through SurveyMonkey despite recent recertification, while SBA did not respond to requests for comment.
The audit lands as the women-owned program has grown to a record $31.7 billion in fiscal 2024 awards, even as two Republican lawmakers seek to end WOSB contracting preferences.