Before you roll your eyes......the following is the text of the ruling....if anyone chooses to discount that it is an issue, that is certainly their right..however, the ruling I cited deals with gunsmiths...and it seems to me to be pretty broad. I would hate to see someone get trapped off with a problem.I can obviously agree that if a person is selling off a collection of firearms that they have owned for a substantial length of time it ought not apply. However, if the person is continually buying and selling firearms....I personally would be concerned.
26 CFR 178.11: MEANING OF TERMS
(Also 178.23, 178.44)
Because of the nature of operations conducted by a gunsmith, he shall not be required to
have business premises open to the general public or to have regular business hours.
ATF Rul. 73-13
[Status of ruling: Active; Amplified by ATF Rul. 77-1]
Advice has been requested whether a gunsmith must establish business premises open to the
general public and regular business hours in the same manner as dealers engaged in the business
of selling firearms or ammunition at wholesale or retail in order to be eligible for a license under
the provisions of Chapter 44, Title 18, United States Code and regulations issued pursuant
thereof.
It has been pointed out that generally, the clientele of a gunsmith who is not engaged in the
business of selling firearms or ammunition at wholesale or retail are only those persons seeking
to have firearms repaired or altered as opposed to those seeking to purchase firearms or
ammunition. Furthermore, a gunsmith often does not have regular business hours but conducts
business during hours which are best suited to himself or his clientele. Thus, the number of
hours which such a gunsmith is open to serve his clientele may be fewer than those of a dealer
engaged in the business of buying and selling firearms or ammunition.
The term “dealer” is defined in 18 U.S.C. 921(a)(11) to include “any person engaged in the
business of repairing firearms or of making or fitting special barrels, stocks, or trigger
mechanisms to firearms.”
One of the requirements under 18 U.S.C. 923(d)(1) for approval of a dealer’s license is that the
applicant has in a State premises from which he conducts business subject to a license or from
which he intends to conduct such business within a reasonable period of time. The term
“business premises” is defined n 26 CFR 178.11 to mean: “The property on which firearms or
ammunition importing, manufacturing or dealing business is or will be conducted. A private
dwelling, no part of which is open to the public, shall not be recognized as coming within the
meaning of the term.” The type of business premises, as well as the business hours, is required
by 26 CFR 178.44 to be included on the application for a firearms dealer’s license.
It is also provided in 18 U.S.C. 923(g) that the premises of a licensee may be entered during
business hours for the purpose of inspecting or examining records or documents required to be
kept as well as any firearms or ammunition kept or stored at such premises.
Held, because of the nature of operations conducted by a gunsmith, any applicant for a
license who intends to engage solely in this type of business and so specifies on his application
will not be required to maintain regular business hours. Further, if the businessis conducted
from a private dwelling, a separate portion should be designated as the business premises, which
need not be open to all segments of the public but only accessible to the clientele that the business isset up to serve. However, the licensed premises of the gunsmith are subject to the
inspection requirements of 18 U.S.C. 923(g) and 26 CFR178.23 and the gunsmith must maintain
the required records as specified in 26 CFR 178.121 et seq.
It is further held that, since under the law a gunsmith is a licensed firearms dealer, if he engages
in the business of buying and selling firearms, he must record his transactions on Form 4473
(Firearms Transaction Record) for each sale, and maintain the firearms acquisition and
disposition records required of all licensed dealers. However, if a gunsmith engages in the
business of buying and selling firearms during the term of his current license, he may be required
to submit a new Form 7 (Firearms) at the time of renewal in accordance with 26 CFR 178.45 and
meet the requirements of an applicant engaging in the business of buying and selling firearms,
such as having business premises open to the general public and having regular business hours.