NFA Gun Trust Lawyer Blog

Violations of the NFA are punishable by 10 years in prison, forfeiture of all devices or firearms in violation, and the individuals right to own or possess additional firearms in the future.  In addition, there is a penalty of $10,000 for each of certain violations.

In addition, a willful attempt to evade or defeat a tax imposed by the National Firearms Act is also a felony which is punishable by up to 5 years in Jail and a $100,000 fine under the tax evasion statutes.  This penalty could be increased to $250,000 for individuals and $500,000 for corporations.

This means you could be looking at a maximum of 15 years in Jail and $510,000 in penalties for a violation.   Many violations can be avoided by proper ownership and knowing who can be in possession and use the Title 2 firearms which are restricted under the NFA.

There may be additional state penalties in addition to the federal one mentioned above.  A properly constructed NFA trust is the best way to own these items and permits the best flexibility as to possession and use.  Although a Revocable trust can provide benefits many individuals create invalid trusts or trusts that do not address the specific issues that relate to NFA weapons ownership and subject themselves to potential violations. 

To create a Valid NFA Firearms Trust that addresses your specific family situation, please CONTACT A NFA lawyer.

There are several type of Class 3 items that are restricted by the National Firearms Act.

Each state can impose additional restrictions on the sale, purchase, and transfer of class 3 firearms in addition to the compliance that is required with the national Firearms Act.

In California you can own the following items that are regulated the the National Firearms Act

Machine Guns 
Any Other Weapon (AOW) (except Pen Guns) *1
Destructive Devices (DD)
Short Barreled Shotguns (SBS)
Short Barreled Rifles (SBR)

In California you cannot own the following NFA restricted items.

Silencers
Pen Guns

*1 AOW's other than Pen Guns are ok as long as they are not an assault weapon.  With the exception of AOW assault weapons that were owned prior to the registrations period are ok.  AOW's are not required to receive a Curio or Relic classification.

Note In California most Class 3 items other than AOW's must be classified as a Curio or Relic  (C&R).

SBS and SBR, that are C&W  as well has AOW's as described above do not require any special state permits.

Permits for Machine guns and DD's are controlled and at the sole discretion of the DOJ and are rarely issued to civilians or anyone who is not involved in the movie industry.

CA's Assault weapons laws apply to assault weapons whether they are C&R or not.  An assault weapon in Ca if meets certain requirements found in the statutes. One of these is  semi automatic center-fire rifle with  the capacity to accept a detachable magazine that has an overall length of less than 30 inches is an AW.  This would mean if you made (through a form 1) a SBR out of an M1 Cabine, it would likely be considered an AW under California law.

Follow this link to find out more about California and NFA restrictions on Class 3 Firearms

There are several type of Class 3 items that are restricted by the National Firearms Act.

Each state can impose additional restrictions on the sale, purchase, and transfer of class 3 firearms in addition to the compliance that is required with the national Firearms Act.

In Arkansas you can own the following items that are regulated the the National Firearms Act

Machine Guns
Silencers
Any Other Weapon (AOW)
Destructive Devices (DD)
Short Barreled Shotguns (SBS)
Short Barreled Rifles (SBR)

In Arkansas you cannot own the following NFA restricted items.

None

Follow this link to find out more about Arkansas and NFA restrictions on Class 3 Firearms

There are several type of Class 3 items that are restricted by the National Firearms Act.

Each state can impose additional restrictions on the sale, purchase, and transfer of class 3 firearms in addition to the compliance that is required with the national Firearms Act.

In Missouri you can own the following items that are regulated the the National Firearms Act

Machine Guns
Short Barreled Shotguns (SBS)
Short Barreled Rifles (SBR)
Any Other Weapon (AOW)

In Missouri you cannot own the following NFA restricted items.

Silencers
Destructive Devices (DD)

Follow this link to find out more about Missouri and NFA restrictions on Class 3 Firearms

An individual, business, or NFA Firearms trust may not register an unregistered NFA firearm.  Only a manufacture, maker, and importer can register a firearm.

Possession of an unregistered NFA firearms is a crime.  The ATF states that if you are in possession of a contraband firearm, you should contact the nearest ATF office to arrange for its disposition.

WARNING - although this is the advise of the AFT, they also state that mere possession is unlawful

There are several type of Class 3 items that are restricted by the National Firearms Act.

Each state can impose additional restrictions on the sale, purchase, and transfer of class 3 firearms in addition to the compliance that is required with the national Firearms Act.

In Alabama you can own the following items that are regulated the the National Firearms Act

Machine Guns
Silencers
Any Other Weapon (AOW)
Destructive Devices (DD)

In Alabama you cannot own the following NFA restricted items.

Short Barreled Shotguns (SBS)
Short Barreled Rifles (SBR)

Follow this link to find out more about Alabama and NFA restrictions on Class 3 Firearms

There are several type of Class 3 items that are restricted by the National Firearms Act.

Each state can impose additional restrictions on the sale, purchase, and transfer of class 3 firearms in addition to the compliance that is required with the national Firearms Act.

In Alaska you can own the following items that are regulated the the National Firearms Act

Machine Guns
Silencers
Any Other Weapon (AOW)
Destructive Devices (DD)
Short Barreled Shotguns (SBS)
Short Barreled Rifles (SBR)

In Alaska you cannot own the following NFA restricted items.

None

Follow this link to find out more about Alaska and NFA restrictions on Class 3 Firearms

There are several type of Class 3 items that are restricted by the National Firearms Act.

Each state can impose additional restrictions on the sale, purchase, and transfer of class 3 firearms in addition to the compliance that is required with the national Firearms Act.

In Arizona you can own the following items that are regulated the the National Firearms Act

Machine Guns
Silencers
Any Other Weapon (AOW)
Destructive Devices (DD)
Short Barreled Shotguns (SBS)
Short Barreled Rifles (SBR)

In Arizona you cannot own the following NFA restricted items.

None

Follow this link to find out more about Arizona and NFA restrictions on Class 3 Firearms

There are several type of Class 3 items that are restricted by the National Firearms Act.

Each state can impose additional restrictions on the sale, purchase, and transfer of class 3 firearms in addition to the compliance that is required with the national Firearms Act.

In Colorado you can own the following items that are regulated the the National Firearms Act

Machine Guns
Silencers
Any Other Weapon (AOW)
Destructive Devices (DD)
Short Barreled Shotguns (SBS)
Short Barreled Rifles (SBR)

In Colorado you cannot own the following NFA restricted items.

None

Follow this link to find out more about Colorado and NFA restrictions on Class 3 Firearms

THE NATIONAL FIREARMS ACT
TITLE 26, UNITED STATES CODE, CHAPTER 53 INTERNAL REVENUE CODE

The National Firearms Act (NFA) is part of the Internal Revenue Code of 1986. All administration and enforcement of the Internal Revenue Code, with the exception of the NFA, is by the Secretary of the Treasury. The ATF administration and enforcement was transferred to the Department of Justice under the Homeland Security Act of 2002.

Teh Attorney General is now in charge of all administration and enforcement of the NFA, were transferred to the Attorney General. The definition in Section 7801(a)(2), Title 26, V.S.C., we chagned to provide that references to the term "Secretary" or "Secretary of the Treasury" in the NFA shall mean the Attorney General.

Chapter 53 - Machine Guns, Destructive Devices and Certain other Firearms is broken in to several sections
Subchapter A Taxes
Part I Special Occupational Taxes

§ 5801 Imposition of Tax
§ 5802 Registration of importers, manufactures, Dealers

Part II - Tax on transferring firearms

§ 5811 Transfer Tax
§ 5812 Transfers

Part III - Tax on making firearms

§ 5821 Making Tax
§ 5822 Making

Subchapter B General Provisons and Exemptions
Part I - General Provisions

§ 5841 Registration of firearms.
§ 5842 Identification of firearms.
§ 5843 Records and returns.
§ 5844 Importation.
§ 5845 Definitions.
§ 5846 Other laws applicable.
§ 5847 Effect on other laws..
§ 5848 Restrictive use of information.
§ 5849 Citation of chapter.

Part II - Exemptions.

§ 5851 Special (occupational) taxes.
§ 5852 General transfer and making tax exemption.
§ 5853 Transfer and making tax exemption available to certain governmental entities.
§ 5854 Exportation of firearms exempt from transfer tax.

Subchapter C - Prohibited Acts

§ 5861 Prohibited acts.

Subchapter D- Penalties and Forfeitures

§ 5871 Penalties.
§ 5872 Forfeitures.

Download The National Firearms Act in PDF

There are several type of Class 3 items that are restricted by the National Firearms Act.

Each state can impose additional restrictions on the sale, purchase, and transfer of class 3 firearms in addition to the compliance that is required with the national Firearms Act.

In Florida you can own the following items that are regulated the the National Firearms Act

Machine Guns
Silencers
Any Other Weapon (AOW)
Destructive Devices (DD)
Short Barreled Shotguns (SBS)
Short Barreled Rifles (SBR)

In Florida you cannot own the following NFA restricted items.

None

Follow this link to find out more about Florida and NFA restrictions on Class 3 Firearms

The National Firearm Act of 1934 was enacted in reaction to activities of gangsters and outlaws of the time. The original law was passed as tax legislation in order to discourage ownership of certain firearms and destructive devices without creating an outright prohibition of the items. The tax on the weapons of $200 was a substantial amount of money in 1934. Because criminals were unlikely to register their NFA weapons, the government was able to use the possession of the weapons without proper tax as a tool to arrest and stop criminal activity. At the time the enforcement of the NFA was the responsibility of the Department of the Treasury.

The National Firearms act controls the ownership, transfer, and possession of a limited set of devices which include machine guns, silencers, short barreled rifles, and short barreled shotguns by requiring federal registration and a tax stamp for each device owned or transfered. The tax stamp is acquired in the registration process and requires specific paperwork. This paperwork referred to as a form 4 or form 1 typically requires a signature of local law enforcement, fingerprints and a payment of the $200 tax. Later the tax on 'any other weapons was changed to $5. The tax is payable at manufacture and each time the NFA device changes ownership except when it is inherited or a dealer acquires the device.

The NFA also required serial numbers on firearms and made it unlawful to alter them. The process had the effect of registering all manufacturers, importers, and dealers.

In 1986, the Firearm Owners Protection Act made the manufacture of new machine guns for the non-government agencies illegal. Machine guns manufactured prior to 1986 can continue to be bought and sold. The limited supply of these devices has cause the prices to rise on a yearly basis.

Currently the National Firearms Act is administered by the National Firearms Act Branch of the BATFE or the ATF as it is often referred to.

The National Firearms Act (NFA) Handbook is available to download.

The NFA Handbook is not available in a printed version any more You may download the entire book (9MB) or its individual chapters

Chapters:
• Chapter 1 - Introduction
• Chapter 2 - What Are "Firearms" Under the NFA?
• Chapter 3 - Registration of NFA Firearms
• Chapter 4 - Taxes Imposed by the NFA
• Chapter 5 - Qualifying to Do Business in NFA Firearms
• Chapter 6 - Making NFA Firearms By Nonlicensees
• Chapter 7 - Manufacturing NFA Firearms
• Chapter 8 - Importing NFA Firearms
• Chapter 9 - Transfers of NFA Firearms
• Chapter 10 - Collectors of NFA Firearms
• Chapter 11 - Exportation of NFA Firearms
• Chapter 12 - Recordkeeping
• Chapter 13 - Required Reports and Notifications to ATF
• Chapter 14 - Going Out of Business
• Chapter 15 - Penalties and Sanctions


Appendices -
• Appendix A (NFA, 26 U.S.C. Chapter 53)
• Appendix B (Rulings and ATF Articles)
• Appendix C (ATF Forms)
• Appendix D (Sample Form Letters)

There are several type of Class 3 items that are restricted by the National Firearms Act.

Each state can impose additional restrictions on the sale, purchase, and transfer of class 3 firearms in addition to the compliance that is required with the national Firearms Act.

In Delaware you can own the following items that are regulated the the National Firearms Act

Any Other Weapon (AOW)
Short Barreled Rifles (SBR)

In Delaware you cannot own the following NFA restricted items.

Machine Guns
Silencers
Destructive Devices (DD)
Short Barreled Shotguns (SBS)

Follow this link to find out more about Delaware and NFA restrictions on Class 3 Firearms