I would strongly encourage anyone interested in purchasing and owning NFA items to set up an NFA Trust. I posted
here with some info about a year ago.
Using a Trust to own and purchase NFA items is most beneficial if there are 2 or more individuals in the household who would use the item and for streamlining the passing of restricted items on to your heirs without paying the tranfer fee (i.e. TAX) for
EACH NFA Item. Anyone in your household who would be using the NFA item, should be named as a co-trustee, then all co-trustees can have access to the item. If an NFA item is purchased and registered as an individual, ONLY that person is authorized to have access to the item. Apple Law Firm can answer many more questions in detail.
I know the cost may at first seem excessive, but really, if you are investing a few thousand dollars in NFA items, this is a relatively small portion of that investment. When I started researching this, I was first quoted by a Lawyer in Nashua it would be in the "ballpark" of $1500, so Apple Law Firm was appoximately half the price.
With the present administration and how easy it is for the BATFE to misinterpret or question your paperwork, I just would not take a chance completing this without the consult of a law firm. (Remember, in the BATFE eyes you are guilty unless you can prove yourself innocent). Owning NFA items is a pretty big responsibility. To gun owners it may seem like a lot of unnecessary paperwork and over the top just to own a Short Barreled Rifle or Suppressor, but to politicians and law enforcement it is considered serious, serious business. If the BATFE prosecutes you for what may seem to be an honest paperwork violation, it can often be charged as a felony. ("Illegal possesion and transfer of a
restricted firearm" is pretty damn serious.) Convicted felons don't get to own ANY guns, so it is worth every penny in my opinion to have a reputable law firm backing me up. BTW, I asked the attorney at Apple if they had ever had an issue with the BATFE with any of the Trusts they had set up, and she said they do this all the time and have never had any issues. She also said they have set up trusts for many high profile individuals including a very, very well known NRA Representative. Also, when I originally spoke with E.F. Nappen the gun law attorney in Concord, he said he had just set up his association with Apple Law Firm because he felt their NFA Trust was a much cleaner and thorough trust.
A few things you should be aware of:
1. After the trust is signed and notarized, it is recommend to set up a bank account in the name of the Trust.
2. Keep only your NFA items in this trust. Don't place any of your other non-NFA firearms in the trust.
3. Once you have the Trust set up, and you have a bank account in the name of the trust, make all your NFA purchases using this bank account.
4. Also, when you send in your ATF Form 4, send in the $200 application fee using your trust bank account.
5. Have the dealer you purchase your items from make the Bill of Sale out preferrably to the name of your trust.
6. Always sign your checks, ATF paperwork and bill of sales with your name followed by "Trustee"
Following these items will help demonstrate that the NFA items are, in fact, being purchased by the Trust and less chance of creating the perception that the item was purchased by you, as an individual and not as an acting Trustee. Remember, the BATFE views you and your Trust as two separate entities. If you already have an NFA item as an individual and are planning to set up a Trust for that same item, you are going to have to fill out the ATF paperwork and pay the transfer fee again to move it into your Trust. You can't just set up a Trust and then add your NFA item to it. In the ATF's eyes, it would be no different than if you were to sell it to another person without completing a transfer application and fee. A very serious offense.
Good luck with your efforts. Although there are some hoops to jump through, it is worth it!
This is another useful website
http://www.guntrustlawyer.com/
