Destructive Device (grenades and certain types of ammunition). Short Barreled Shotgun or SBS (shotguns with a barrel less than 18″ or an overall length less than 26″). Short Barreled Rifle or SBR (rifles with a barrel less than 16″ or an overall length less than 26″). This is why an NFA item is sometimes referred to as a Title II Firearm. NFA Firearms are also sometimes referred to as Title II firearms because the National Firearms Act is considered to be Title II of federal gun laws ( The Gun Control Act of 1968 is Title I – even though it came about later). NFA Firearms are guns (silencers are legally considered to be firearms) that are regulated under the National Firearms Act of 1934. The once a year tax is only $500 for smaller FFLs and most home-based FFLs.Īs you can see, there’s a big benefit to becoming an SOT: with an SOT, you’re already saving money once you get your 3rd NFA firearm in a year ($600, 3 X $200, vs $500 once) and if you’d like to make NFA Firearms as a Type 7 FFL, then you’ll need an SOT by requirement. Unless you are an SOT, the tax is paid per firearm.įFLs, in order to avoid the per item tax, and also to have special permission to make them, sometimes elect to become an SOT in order to pay a once-per-year tax that exempts them from the per item tax. This tax is paid by the maker of the firearm and, when it comes to transfers, the transferee of the NFA firearm (who it’s going to). For most NFA Firearms, the transfer (or making) tax is $200. There is a special class of firearms called NFA firearms (more on that next) that incur a special making and transfer tax each time the NFA firearm is made or changes possession. 
However, there’s a right and a wrong way to set it up. The process to become an FFL is fairly straight forward. FFLs are gun dealers or firearm manufacturers.
REGISTERED MACHINE GUNS FOR SALE LICENSE
Q: What is an FFL? A: An FFL, or Federal Firearms License holder, is a person or entity engaged in the business of making and/or selling firearms. A special Occupational Taxpayer (“SOT”) is something that a Federal Firearm License (“FFL”) holder becomes to engage in certain business activities with National Firearms Act (“NFA”) firearms (also called Title II firearms) like short barreled rifles, silencers, and more.īefore we answer what an SOT is more fully, let’s first explore what an FFL is.
0 kommentar(er)
