[header_title title=”About Gun Trusts” header_size=”h4″]
Many firearms enthusiasts, with the help of attorneys, are creating “firearms trusts” or “NFA trusts,” which are specifically designed to hold ownership of firearms that are subject to strict federal and state regulations. These firearms, commonly called Class 3, NFA, or Title 2 firearms, are items such as fully-automatic rifles, suppressors, short-barreled rifles, and short-barreled shotguns, among others.
If you are considering the purchase of an NFA item, there are numerous benefits to creating a firearms trust.
You may have also heard of the ATF rule change, ATF 41F. This rule change goes into effect July 13, 2016. Please read more about it below.
Benefits and ATF 41F
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[tab_content id=”1″]Perhaps greatest benefit to creating a firearms trust is that it can allow various people to possess and use NFA items owned by the trust. Multiple trustees can be named who have the authority to possess the trust’s assets, even if the person who created the trust is not present. Without a trust, only the individual owner of an NFA item can possess it.[/tab_content]
[tab_content id=”2″]Another benefit to creating a firearms trust is that trustees can be designated when the trust is created, or added or deleted at a later time.[/tab_content]
[tab_content id=”3″]As of July 13, 2016 the ATF is now requiring all “responsible persons” to submit fingerprints and photographs with your Form 1 or Form 4. A “responsible person” is one “who [has] the power and authority to direct the management and policies of the trust or legal entity to receive, possess, ship, transport, deliver, transfer, or otherwise dispose of an NFA item for, or on behalf of, the trust or entity.” This is a very broad definition but usually means anyone who serves as a grantor or trustee in your average NFA trust.
This new rule change has created extra steps to getting an NFA item into a firearms trust, but remember the benefits. [/tab_content]
[tab_content id=”4″]The only downside to creating a firearms trust is the added cost of having an attorney help you create one the RIGHT way. This cost can vary wildly, from hundreds to thousands of dollars, depending on who you contact.
Regardless, the numerous benefits are clearly worth the cost.[/tab_content]