Tag Archives: NFA

ATF releases 2017 Report on Firearm Commerce in the United States (Numbers, Bar Graphs, and Pie Charts!)

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ATF has released its annual Firearms Commerce in the United States Statistical Update for 2017. As my one friend put it, “[t]his is like fantasy football stats for silencer dorks.” It’s actually like that for a lot more than the silencer crowd, but I digress.

The Annual Firearms Manufacturing and Exportation Report (AFMER) is only current through 2015. This is because AFMER data is not published until one year after the close of a calendar reporting year because the information provided by those whole filed a report is protected from immediate disclosure by the Trade Secrets Act. Which is why you see a two year lag (2015 data reporting in the beginning of 2016 and a year delay between its reporting and publication).

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In 2015, there were a total of 9,358,661 firearms manufactured. This was up from 2014’s number of 9,050,626 by about 3.3%. Interestingly the number of exports fell by about 20%, from 420,932 in 2014 down to 343,456.

The total number of imports rose from 3,930,211 in 2015 to 5,137,771 in 2016 (imports are not included not the AFMER report which is why the numbers are more current). Interestingly, it was handguns that account for a little over 1.2 million more firearms imported in 2016. And as you may have guessed Austria leads the charge with handguns imported, accounting for over 1.3 million coming into the country. Probably a safe bet that Glock is responsible for the majority of those.

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For those of you NFA junkies, in 2016, there was $6,018,000 in occupational taxes paid (SOTs). This is up again from the year prior and slightly under double that of 2012. Taxes paid were $62,596,000 for 2016, almost double the year before (thanks ATF 41F). Interestingly, there were 6,547 record checks, which means that ATF searched the National Firearms Registration and Transfer Record (NFRTR) that many times to determine if a firearm was possessed lawfully or if the transfer was performed lawfully.

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In 2016, there were 49,985 Form 1s and 133,911 Form 4s filed. These numbers were up from the year prior, but not by a significant margin for the Form 4s (Form 1s were up by about 17,000). While the number of forms process by the NFA Branch was up about a million from the year prior, it was the Form 2s that accounted for almost half of that number. For those that are unaware, Form 2s are used by industry to give notice to ATF that they produced or imported a NFA firearm.

As far as NFA firearms registered by state, Texas leads with 588,696. California follows with 344,622. Florida, Virginia, and Pennsylvania round out the top 5. Interestingly, Connecticut leads the charge with registered machine guns, sitting at 52,965. However, when you consider law enforcement, it starts to make sense.

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There are currently 57,345 licensed collectors of curios or relics, making it the most popular license type. It is followed closely by dealer in firearms, of which there are 56,754 active licenses. ATF reports 137,464 active licenses. Texas holds 10,954 of those licenses, making it the state with the most.

In 2016, 16 license applications were denied. This number is down almost 50% from the year prior. As for compliance inspections, ATF performed 9,790 last year. This equates to 7.1% of all licensees in 2016 being inspected.

As always, the annual report helps give some insight as to ongoings within the firearms industry.

 

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News from the 16th Annual NSSF Import/Export Conference in Washington, D.C.

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Attorney Joshua Prince and I attended the Annual NSSF Import/Export Conference in Washington, D.C. this week. There were a variety of presentations that were given on a variety of topics including: Federal Search Warrants and Regulatory Site Visits, Chemical Facility Anti-Terrorism Standards, Foreign Military Sales, ATF Panel Discussion, and Round Table Discussions (the best part in my opinion) on Day 1. On Day 2’s agenda is Prohibited and Embargoed Countries, DDTC Presentation on Information Technology, and a presentation from DDTC on Licensing and Agreements.

As most of our readers are more concerned with up-to-date statistics and information from ATF, this blog article will only address those and information learned at the Round Table Discussions.

ATF Panel

Sitting on the ATF Panel giving updates were: Marvin Richardson (Assistant Director, Enforcement Programs and Services), Curtis Gilbert (Deputy Assistant Director Enforcement Program and Services), Andrew Graham (Deputy Assistant Director Industry Operations), Earl Griffith (Chief of the Firearms Ammunition Technology Division), Alphonso Hughes (Division Chief, National Firearms Act Division), Gary Taylor (Firearms and Explosives Services Division), Andrew Lange (Division Chief of the Office of Regulatory Affairs), and Krissy Carlson (Division Chief of the Firearms and Explosives Industry Enforcement Programs and Services).

Industry Operations

Andy Graham stated that there are currently 791 Industry Operations Investigators (IOIs) not including the administrative staff. In 2018 they hope to add 48 more. There are two classes, one in February and one in July.

There are currently ~1,100 firearm importers and ~230 destructive device importers. There are about 162 active inspections occurring with regard to those licensees.

Office of Regulatory Affairs

Andrew Lange announced regulations.atf.gov, a website that had the most up to date regulations pertaining to ATF. The website is actually the first government website that I’ve perused that was functional and useful! The information is pulled directly from the Federal Register, so if ATF implements a final rule, it will automatically update.

The website features the ability to see the history of a particular regulation (so you can see the changes over time) and defined terms are hot linked so they will populate on the right hand side, meaning you can read a provision and see the definition of terms which are defined at the same time (allowing a reader to have better context or understanding). Even cooler is that it links to ruling that were issued. I’m genuinely impressed with the system. If only the eForms system worked as well.

Phase 2 is expected to be rolled out in September of this year.

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Firearms Ammunition Technology Division

Earl Griffith introduced the Firearms Ammunition Technology Division or “FATD”. They hired six more firearms enforcement officers who have now completed a significant amount of training (if I recall it was about a year to a year and a half, I didn’t write down the length of time), bringing the total to twelve. They are responsible for the evaluation of samples sent to FATD.

Currently, FATD is running about 30-90 days on most evaluations. They have currently issued about 800 marking variances which are taking about 30 days to issue. So far this year there have been about 250 product evaluations.

NFA Division

As was published in the most recent ATF FFL Newsletter, the NFA Branch has been transformed into the National Firearms Act Division, which became effective April 3, 2017. The Division will be led by Division Chief Alphonso Hughes, the previous Chief of the Firearms and Explosives Services Division. The new division, consists of two branches – the Industry Processing Branch (IPB), dealing with industry and the Government Support Branch (GSB) dealing with government related matters.

Alphonso stated that the NFA Division was going to undergo a full evaluation of the internal business processes in the first quarter of 2018. It would involve outside eyes looking in.

The former 2-3 month time period for application data entry has now been reduced to ~72 hours. For those with access to eForms…use them. eForms result in faster turnaround on approvals. While they can’t auto approve at this point, they are automating as much as possible. Form 2-3s are hovering around 10 days or under (eForms from my understanding).

41F – Everyone’s favorite topic (sarcasm if you couldn’t tell). There were ~280,000 applications received from the announcement of the final rule until it went into effect. That was about a full years worth of applications. They are on the downward slope of pre 41F paperwork.

ATF is working overtime to process these forms. They are currently working 7 days a week to reduce the wait times and are literally working overtime hours to accomplish that goal (up to 20 hours per person in addition to their standard work week).

Pre 41F, they were receiving ~35,000 forms a week and processing about 8,000 forms a week. Post 41F they were receiving about 5-6,000 form a week and processing 8-9,000 forms a week. They are currently predicting a 6-7 month turn around if you submit a form today.

In January, six additional examiners were hired. They are going to continue to push for resources in FY 2018-19.

Alphonso was also asked about the possibility of the reopening of the MG registry. He replied that it was not within the NFA division’s purview to address the issue (and he isn’t wrong. The original statutory language read “The Secretary of the Treasury, after publication in the Federal Register of his intention to do so, is authorized to establish such periods of amnesty, not to exceed ninety days in the case of any single period, and immunity from liability during any such period, as the Secretary determines will contribute to the purpose of this title.” 82 Stat. 1235, § 207(d). As ATF was transferred to DOJ, the power would now be held by the Attorney General. See 27 CFR 479.101(b)).

Firearms and Explosives Industry Enforcement Programs and Services

Last, but not least, was Krissy, who stressed eForms usage for industry. She was also asked about the possibility of the HPA passing. As you probably guessed, this is in the hands of Congress and not ATF. ATF holds no opinions on proposed legislation.

Round Tables

ATF Firearms and Explosives Industry Division 

I followed up on a question that arose last week at the NICS Retailer Event at FBI. While there, someone had asked about the new 4473 and question 12.d.2, specifically whether or not someone had to complete the question.

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The answer I received was “yes”, the form must be completed. This question has seemed to cause a lot of confusion on the new form.

There was also the question of “sex” on the 4473. Some states have now recognized a new gender. ATF has provided limited guidance, simply saying the individual has to complete the form. However, it is suggested, after discussion with ATF, if a licensee is unsure or uncomfortable with the person’s response, that they can document the transaction, etc. in the notes section of the 4473. A photocopy of the identification (a standard practice in a  lot of shops anyway) is suggested. ATF is still in the preliminary stages of looking into this issue and only provided guidance in relation to the question must be answered.

NFA Division

A common question I receive is whether or not you have to notify the NFA Branch of a change in configuration. I was informed that an individual can write a letter to ATF adding another configuration to a registered receiver. For instance, if the Form 1 or 4 is approved for a 10.5″ 5.56 gun and a person has a 8″ 300 Blackout upper, they can notify the NFA branch of the additional configuration. It was strongly encouraged that an individual do such, even if the change is temporary.

It was reported that the NFA Branch had little to no issues with the electronic fingerprint submissions. They advised that most prints they received were fine.

Lastly, for those curious about the process within the NFA Branch regarding trust applications, I was given this simplified process.

The application is received along with the payment. Payment is cashed and the data entry occurs. After the data is entered (it is kept in the order received) it is submitted to NICS for a check. Obviously the more Responsible Persons the more room for error, delays, etc. If a delay comes back on one person, the entire application is held up. This work is done by the legal assistants. By the time it hits the examiner, it is ready for approval or denial.

As I’m writing this, it I realized I forgot to ask about the disparity between approvals and postmark dates.

Firearms Ammunition Technology Division

Form 1 silencer builders have been in a constant state of argument as to what they can or can’t do. As of where we stand today, it is the opinion of FATD that a Form 1 maker CANNOT repair their silencer. They cannot replace a baffle if it is destroyed, repair a damaged endcap, or shorten the silencer. While not the answer the community wants to hear, that is the current position. Essentially, you’d have to file a new Form 1 and build a new silencer.

For those wondering about the new Autoglove, FATD has not seen a sample of that product.

If you’re thinking about building a clone of a firearm that has been approved as a non NFA firearm (ala Tac 14 or Shockwave, etc.) there is no requirement that you submit a determination request (which is true of any domestically built firearm). However, it was strongly encouraged to ensure your compliance.

 

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As an FFL, Can You Sell an NFA Firearm Through the Mail?

Often times, Federal Firearms Licensees (FFLs) inquire as to whether they can sell a National Firearms Act (NFA) firearm through the mail, without the buyer needing to be present. To the surprise of most FFLs, you actually can sell NFA firearms through the mail, provided the purchaser is not otherwise prohibited and is a resident in the same state as the FFL.

27 C.F.R. § 478.96 states that where the firearm is being provided to resident of the same state as the FFL and who is not prohibited, the FFL may sell a firearm that is not subject to the provisions of 27 C.F.R. § 478.102(a) to a non-licensee who does not appear in person. Section 478.102(a) requires a National Instant Check System (NICS) background check on most transactions; however, there is an exception, pursuant to subsection (d)(2), if  “The firearm is subject to the provisions of the National Firearms Act and has been approved for transfer under 27 CFR part 479.” Thus, Section 478.96 would apply and allow the FFL to transfer the firearm to the purchaser, who is a resident of the same state, without the purchaser having to be present.

However, pursuant to Section 478.96, the FFL has certain additional requirements to perform this type of transaction. Specifically, the purchaser must provide to the FFL an executed Form 4473, as provided for by 27 C.F.R. § 478.124, and attach “a true copy of any permit or other information required pursuant to any statute of the State and published ordinance applicable to the locality in which he resides.”

Furthermore, the FFL MUST “prior to shipment or delivery of the firearm, forward by registered or certified mail (return receipt requested) a copy of the record, Form 4473, to the chief law enforcement officer named on such record, and delay shipment or delivery of the firearm for a period of at least 7 days following receipt by the licensee of the return receipt evidencing delivery of the copy of the record to such chief law enforcement officer, or the return of the copy of the record to him due to the refusal of such chief law enforcement officer to accept same in accordance with U.S. Postal Service regulations.”

Lastly, the original Form 4473, and evidence of receipt or rejection of delivery of the copy of the Form 4473 sent to the chief law enforcement officer must be retained by the licensee as a part of his/her/its required records. After completing this step, the FFL can now send the NFA firearm to the purchaser, provided that there are no separate state law requirements. Some states, such as Pennsylvania, require additional state forms to be completed, depending on the type of NFA firearm (e.g. if it constitutes a “firearm” under Pennsylvania law, then a Record/Application of Sale form would have to be completed).

Accordingly, while an NFA transfer can occur without the instate purchaser being present, there are additional obligations placed upon the FFL and the purchaser may not be happy with the additional information being provided to his/her CLEO. Thus, it is a best practice for an FFL to only conduct in-person transfers, unless you are familiar with the requirements and have put in place procedural safeguards to ensure that none of the additional requirements are overlooked.

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BREAKING: BATFE Has Not Changed Anything Relating to Fingerprints for NFA Firearms

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This morning TheFirearmBlog.com posted a story which stated that ATF had revised its ruling in relation to fingerprints for NFA firearms. The article claims that ATF now requires law enforcement agencies to take fingerprints rather than anyone qualified to. To support this position the article links to ATF’s Explosives website.

As always, the information is provided by an anonymous source. Had the source or TheFirearmBlog.com looked at where the information came from, they would have clearly been able to see that this is simply not true. I’m a bit disappointed in TheFirearmBlog.com because usually they are an excellent source for correct information.

The problem is that the link goes to the Explosives portion of the website, NOT the firearms part. This is the same link that SilencerCo had previously used to support its position that Silencer Shop’s Secure Identity Documentation (SID) system would not be acceptable for the purposes of NFA firearms when it had sent an email to a major distributor earlier this year.

The link the article points to states:

How do I get my fingerprints taken?

Fingerprints must be submitted on Fingerprint Identification Cards, FD–258 that have been issued by ATF. The fingerprint cards must contain the following ORI information: WVATF0900; ATF–NATL EXPL LIC, MARTINSBURG WV. These fingerprint cards may be obtained by contacting the Federal Explosives Licensing Center at 877-283-3352 or the ATF Distribution Center at 703-870-7526 or 703-870-7528. The fingerprint cards must be completed by your local law enforcement authority.

Last Reviewed September 23, 2016

Emphasis added. Further if we look at the website the link goes to, we can clearly denote it is in the explosives area by looking at the information found on the left and above the question.

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ATF’s own Q&A relating to ATF 41F states that a licensee may take fingerprints provided they are properly equipped.

Q. May a Federal firearms licensee fingerprint a customer? As an FFL dealer, can we fingerprint our customers?

A. Fingerprints may be taken by anyone who is properly equipped to take them (see instructions on ATF Form 1, Form 4, Form 5, and Form 5320.23). Therefore, applicants may utilize the service of any business or government agency that is properly equipped to take fingerprints.”

As if there were any doubt, let us head to the regulations to review them.

In relation to the transfer of an NFA firearm, 27 C.F.R. § 479.85 Identification of Transferee states:

(a) If the transferee is an individual, such person shall:

….

(2) Attach to the application two properly completed FBI Forms FD-258 (Fingerprint Card). The fingerprints must be clear for accurate classification and should be taken by someone properly equipped to take them.

In relation to the making of an NFA firearm, 27 C.F.R. § 479.63 Identification of Applicant states:

(a) If the applicant is an individual, the applicant shall:

….

(2) Attach to the application two properly completed FBI Forms FD-258 (Fingerprint Card). The fingerprints must be clear for accurate classification and should be taken by someone properly equipped to take them.

(b) If the transferee is not a licensed manufacturer, importer, or dealer qualified under this part and is a partnership, company, association, trust, or corporation, such person shall:

(2) Except as provided in paragraph (c) of this section, attach to the application –

(iv) Two properly completed FBI Forms FD-258 (Fingerprint Card) for each responsible person. The fingerprints must be clear for accurate classification and should be taken by someone properly equipped to take them.

(b) If the applicant is not a licensed manufacturer, importer, or dealer qualified under this part and is a partnership, company (including a Limited Liability Company (LLC)), association, trust, or corporation, the applicant shall:

(2) Except as provided in paragraph (c) of this section, attach to the application –

(iv) Two properly completed FBI Forms FD-258 (Fingerprint Card) for each responsible person. The fingerprints must be clear for accurate classification and should be taken by someone properly equipped to take them.

Once again, we see there is no support for the proposition ATF changed anything. If you are applying to make or transfer an NFA firearm you can roll your own fingerprints, utilize Silencer Shop’s SID kiosk, have your FFL roll your fingerprints or head over to your local law enforcement to have them taken.

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News from the Round Table Discussions at the NSSF Import/Export Conference

It’s that time of year again, the NSSF Import/Export Conference which is held in Washington, D.C. While the conference is designed to help educate companies about the import/export regulations and laws they might encounter while in the business, the conference does provide for round table discussions with ATF, DDTC and other Firearm Industry officials. Some of the officials from ATF that I had the opportunity to sit around the table with were Ted Clutter (Section Chief of the NFA Branch), Earl Griffith (Head of the Firearms and Ammunition Technology Division [FATD]), Max Kingery (Second in Command at FATD) and Edward Courtney (Head of the Firearms Industry Programs Branch).

ATF

General ATF

Marvin Richardson, the Deputy Assistant Director of Enforcement Programs and Services, announced during the ATF Panel Discussion that there would be a new NFA Division (discussed further below).

Andy Graham Deputy Assist Director for Industry Operations reviewed some statistics from this past year.

Inspection statistics:

177 new importer applications

493 inspections occurred, 177 were related to importer applications, the rest were compliance inspections.

There was 1 application denial, 103 applications which were withdrawn for various reasons, 110 compliance inspections resulted in no further action, 36 compliance inspections that resulted in license surrenders,  and 15 special requests for inspections from licensing center.

There were 3 inspections that resulted in warning conferences and 14 inspections that resulted in a warning letter with a recall. There were also 8 inspections that resulted in a warning letter without a recall.

Last fiscal year, base of licensees dropped from ~141,000 to ~139,000.

Alphonso Hughes chief of the Firearms & Explosives Services Division reviewed changes to the structure of different divisions of ATF.

FFL Licensing Center has 20 examiners processing applications. FEL Licensing Center has 10 examiners working for it.

NFA Branch has 24 examiners staffing it. It’s down from 26. There are now 4 sections within the NFA Branch. That’s up from the previous 2. There are 7 vacant examiner positions that they are in the process of filling. Projections into 2017 for additional staff to help the NFA Branch.

Krissy Carlson, the chief of the Firearms and Explosives Industry Division, reviewed the new 4473 that is up for comment (again) on the Federal Register. For more on that see Chief Counsel Joshua Prince’s blog article. They are also introducing a newsletter that they’ve been working on since November! Krissy also mentioned new rulings based on petitions submitted to them.

Andrew Lange the Division Chief of the Officer of Regulatory Affairs spoke about the difference between regulations and rulings. There are a couple of rulemaking proceedings that are in the notice and comment phase. He specifically mentioned the ATF 29P notice and comment period closing today which I filed a comment in Opposition of the Advanced Notice of Proposed Rulemaking on behalf of Dead Air Silencers. You can find that comment here.

Lastly, Earl Griffith, the Chief of the Firearms and Ammunition Technology Division, spoke. There are some promotions within the division. They are on track to do over 1,000 marking variances this year. They are taking about 2-3 weeks to process.

 

nfa branch

NFA Branch

NFA Stats:

307,000 NFA Applications were processed. Last year there were 221,000. On track to receive about 400,000 forms for this year based on last years numbers. They are predicting 469,000 for this year because of ATF 41F (shout out to NFATCA).

Processing time is advertised as 6 months. In the last 5 weeks, they received 126,000 forms on top of the 90,000 they already have. 6 months now may be 8 or 9 months. Sorry guys. Just forget you ever submitted anything.

7,500 applications a week were received before 41F was announced. It doubled after the announcement of ATF 41F. It approached 35,000 in a single week closer to ATF 41F being implemented.

Alphonso said that the non-tax paid forms should be close to a 30 day processing time. He told his examiners to make that a priority.

They received several million dollar days in tax paid forms for the month of July. They cleared 11 million dollars in tax paid applications for the month of July.

They are looking to implement an electronic method for the submission of tax paid forms post 41F. Alphonso mentioned the possibility of electronic submission of the application and RP questionnaires with a matching barcode sheet to mail in the fingerprints.

NFA Branch is going to become a division with several branches within it to modernize the workflow. This is due to congressional oversight inquiries. They are looking for approval on paper in the first quarter of fiscal year 2017. Actual implementation in the 2nd or 3rd quarter. Alphonso will be the Chief of the NFA Division.

I also asked the NFA Branch a number of questions during the round table discussion. Before attending the conference I asked members of AR15.com, other industry related forums, and on Facebook questions they had that they wanted answered. I received a number of good questions which I decided I would ask.

Does ATF intend to bring back eForms for Form 1 and Form 4s?

Sounds like due to funding the eForms system will just be maintained where it is, until there is funding to replace it. In other words…

burea

Is the NFA Branch still accepting corrections to forms submitted that had “non fatal” errors?

Yes. They are.

Does the NFA Branch have any procedures in place for forms which were submitted with credit card information that was rejected for wrong numbers, when the right number was listed on the form, particularly in light ATF 41F going into effect?

Not currently. That is something I am going to follow up with ATF about. I was alerted that it would likely need to be run through the NFA Branch counsel before I received an answer.

Does ATF prioritize Form 3 transfers? Is there any plans to “auto approve” Form 3 transfers using the eForms system after verifying the information on the form?

As stated earlier, the NFA branch is again prioritizing Form 3s. They are trying to process them within 30 days (that’s the goal). There is no plan for “auto approval”.

What constitutes a “fatal error” on a form?

A few examples I was given were 1) wrong serial number, 2) no serial number, 3) wrong address.

Firearms and Ammunition Technology Division

If you have a sample you want a determination request on prior to SHOT Show 2017, you must submit it to FATD no later than the end of September.

Office of Regulatory Affairs

For those who had questions regarding why comments reflected in the docket for regulatory changes were not all displayed, I learned a few things. First, if the comment contains just vulgarity, it will not be displayed. ATF will retain it and it will likely be subject to a FOIA request, but it won’t be displayed on regulations.gov. They also may be available for viewing in the reading room.

As for the timeline for comments submitted being displayed on regulations.gov, I was told that depending how much workload they had, it could be very quick or take a while.

Itar

DDTC

Unfortunately, the question that most people wanted answered “Do I have to register under ITAR?” is not one that was able to be asked to someone at DDTC who handles registration. However, the guidance that DDTC issued on July 22nd, available here, tells you whether you have to register under ITAR or not. Additionally, the guidance also tells an individual how to inquire with DDTC as to whether the need to register.

 

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Transferring a Sear? Multi Caliber is No Longer Accepted by ATF

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It appears that ATF has once again changed the standards for applications to transfer NFA firearms. This time it is in relation to sears.

A letter surfaced, that was dated June 15, 2016, from the NFA branch to an applicant which stated that the firearm description “varies with our records”. The letter went on to state “We no longer accept multiple calibers and have decided that all sears should be registered as N/A.” (Emphasis added). A copy of the letter can be found here.

Consistent with ATF’s approach to almost everything, there is no accompanying explanation as to why “multi” is no longer an acceptable response to the caliber. It appears that ATF has just arbitrarily decided that “multi” was no longer acceptable and that going forward applicant’s should use “n/a”. It would seem from a logical standpoint that because the sear does not have a barrel and cannot be chambered in any caliber, that “n/a” would be the appropriate designation. Unfortunately, we are left to guess as to why this change is being made.

If you plan on submitting an application to transfer a NFA firearm and the firearm is a sear, make sure that you no longer list the caliber as multi, otherwise you’ll most likely be receiving a notice in the mail asking you to correct your form.

 

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ATF Releases Open Letter to CLEOs Regarding ATF 41F

On May 25, 2016 ATF released an Open Letter to Chief Law Enforcement Officers regarding ATF 41F. The letter can be found here.

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The letter briefly describes some of the changes that will occur after the rule is implemented.

Of note is the notification requirements for the CLEO. In short, all legal entities will be required to forward a copy of all Applications to Make (Form 1s) or Applications to Transfer (Form 4s) and the Responsible Person Questionnaire to the CLEO of the localities where the Responsible Person is located.

The letter does note that no action on the part of the CLEO is required, does not specify in what manner a CLEO should store the documentation, if they choose to do so, and asks that if the CLEO has any information that may disqualify any maker or transferee, including a responsible person of a legal entity, from making or possessing a firearm to provide that information to the NFA Branch.

Of concern is that the letter does not specify the copies of the Form 1s and Form 4s that the CLEOs are receiving contain confidential tax information and should be treated as such. If CLEOs choose to destroy the forms, rather than keep them, are they disposing them in a manner that would not allow an individual to view the information contained on the form? Further, the letter does not advise CLEOs (those who may reside in states that don’t allow some or all NFA items) that an individual may be a trustee of a trust located in another state. This may cause some issues with CLEOs reporting to ATF that those items are not allowed in that state.

Interestingly enough, it would seem that ATF is continuing to have the CLEO involved by asking for notification as to whether they have information about that individual which would disqualify the entity from obtaining the item. Perhaps ATF believes that the CLEO is still the best person to know the affairs of an individual even though they are now required to submit fingerprints and photos as a responsible person.

The letter does confirm that as long as applications are postmarked by July 13, 2016, they will be grandfathered in under the current regulations.

 

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