While there are many benefits of an NFA Trust, I am often asked for some of the main benefits. I have a list of 10 of the main benefits of an NFA trust. The benefits vary based on each individual’s circumstances but most of these apply to everyone.
1) The ability to tell your representatives how to properly transfer these assets upon your death;
2) The ability to transfer assets to children even below the age of 18 at a later time while giving the trustee the ability to look at the child’s mental state, physical location, and age in addition to whether the child is legally able to own, possess, or use the firearms;
3) The ability for the Trustee to refuse assets transferred by will or other means if NFA and state requirements are not complied with;
4) Requirement to comply with NFA and State laws for transfer of NFA related assets;
5) The ability to make uneven distributions to heirs to conserve value of assets;
6) The ability to purchase Title II weapons, without creating a violation of the duties of the trustee;
7) The ability to use the weapons in the trust without creating liability to the beneficiaries;
8) The instructions and formalities on how to: manufacture items under a Form 1, how to purchase items correctly under a Form 4, how to properly document and transport Title II firearms with a Form 20.
9) Protection for yourself and your family from Constructive Possession – a violation of the NFA.
10) The ability to add others to your trust at a later time and create additional authorized users of the firearms.