FLS Bulletins 2018-02-08T15:03:53+00:00

FLS Bulletins

2608, 2019

Selling Shotguns and Rifles to Nonresidents: Licensed Dealers Must Comply with State Law

August 26th, 2019|

The Gun Control Act (“GCA”) specifically authorizes federal firearms licensees (“FFLs”) to sell rifles and shotguns to unlicensed purchasers who reside in a state other than the state where the dealer is located.  However, the statute specifically requires that the transactions comply with state law where the transaction takes place and the laws of the state where the buyer resides.  Sellers are generally knowledgeable about laws of the state where they are located, but may not be fluent in the laws of the buyer’s state.  This article addresses the hazards of selling long guns in violation of state law [...]

2812, 2018

Department of Justice Rescinds ATF Guidance Documents

December 28th, 2018|

In a press release issued on December 21, 2018, Acting Attorney General Matthew Whitaker announced the rescission of 69 guidance documents the Department of Justice (DOJ) believes are unnecessary, outdated, inconsistent with existing law or otherwise improper.  The documents were rescinded pursuant to Executive Order 13777 and a November 16, 2017, memorandum signed by Attorney General Sessions.  The Sessions memorandum stated that its purpose was to prevent DOJ from evading required rulemaking processes by using guidance documents to create de facto regulations. All of the guidance documents rescinded by DOJ were issued by the Bureau of Alcohol, Tobacco, [...]

1412, 2018

Tax & Trade Bureau to Present FAET Seminar at SHOT Show

December 14th, 2018|

Officials from the Alcohol and Tobacco Tax & Trade Bureau (“TTB”) will be giving a seminar on firearms and ammunition excise tax (“FAET”) at the 2019 SHOT Show.  The SHOT Show will be held January 22-25, 2019, at the Sands Expo Center in Las Vegas, Nevada. TTB’s seminar will be geared toward new taxpayers, but information provided will be beneficial to all manufacturers and importers who pay FAET.  For readers not familiar with FAET, the tax is imposed on the manufacture/importation and sale of firearms, shells, and cartridges.  The tax rate is 10 percent of the sale price [...]

2307, 2018

Regulation of Bump Stocks: ATF Prepares to Issue Final Rule

July 23rd, 2018|

On March 29, 2018, the Department of Justice published in the Federal Register a notice of proposed rulemaking that would clarify the Administration’s position that “bump fire” stocks are “machineguns” regulated under the National Firearms Act (“NFA”) and the Gun Control Act (“GCA”).  The comment period for the proposal closed on June 27, 2018.  This bulletin provides an update on the progress made by the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) in reviewing the comments and the process for issuing a final rule. Summary of Bump Stock Proposal The FLS Bulletin dated March 26, 2018, provides [...]

105, 2018

ATF Gets $100 Million Boost in Budget for Regulatory Programs

May 1st, 2018|

The Consolidated Appropriations Act, 2018, gave the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) a $35 million increase in its annual budget from the agency’s fiscal year 2017 figure.  The Act, Public Law 115-141, was signed into law by the President on March 23, 2018.  It covers appropriations for federal government agencies for fiscal year 2018, which runs from October 1, 2018-September 30, 2019. The House Report accompanying the bill states that the total figure appropriated for ATF, $1.29 billion, is $35 million above the agency’s 2017 figure and $20 million above the budget request submitted by the [...]

2603, 2018

Department of Justice Proposes Ban on Bump Stocks

March 26th, 2018|

In a press release issued on March 23, 2018, Attorney General Sessions announced issuance of a notice of proposed rulemaking clarifying that bump stocks fall within the definition of “machinegun” under federal law.  Officials from the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) advise the notice will be published in the Federal Register later this week.  This bulletin will summarize the Administration’s proposal to ban bump stocks and the impact on possessors if the proposals are adopted. What is a Notice of Proposed Rulemaking? A notice of proposed rulemaking (“NPRM”) is a document published in the Federal Register announcing [...]

2003, 2018

Armor Piercing Ammunition: Basics of Federal Regulation

March 20th, 2018|

In 1986 Congress amended the Gun Control Act of 1968 (“GCA”) and imposed significant controls over “armor piercing ammunition.”  The restrictions (1) prohibit the manufacture and importation of armor piercing ammunition; (2) authorize the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) to revoke the license of any licensed dealer who willfully transfers armor piercing ammunition; (3) impose marking requirements on such ammunition; and (4) require licensees to keep records of disposition of armor piercing ammunition.  This bulletin will address the statutory definition and provide an overview of the restrictions. Definition of “Armor Piercing Ammunition” The GCA definition of [...]

803, 2018

Which Products Are Regulated Under the Federal Explosives Laws?

March 8th, 2018|

The federal explosives laws in 18 U.S.C. Chapter 40 impose licensing requirements on persons who engage in the business of importing, manufacturing, or dealing in explosive materials.  License requirements also apply to occasional users and hobbyists, as persons who wish to lawfully transport, ship, or receive explosive materials must obtain a user permit from the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”).  Licensees and permittees must maintain records of acquisition and distribution of explosive materials and store them in storage magazines that comply with construction, housekeeping, and tables of distance requirements in ATF regulations. The starting point for [...]

503, 2018

Offers In Compromise–A Practical Method for Resolving Firearms Excise Tax Liability

March 5th, 2018|

Manufacturers and importers of firearms and ammunition incur liability for excise tax on their sale and use of such products.  The tax, imposed by 26 U.S.C. § 4181, is 10 percent of the sale price for pistols and revolvers and 11 percent of the sale price for all other firearms, shells and cartridges.  Tax returns must be filed quarterly with the Alcohol and Tobacco Tax & Trade Bureau (“TTB”), and tax must be paid in full with the return.  Taxpayers who fail to timely file returns and pay tax may be assessed the full amount of any underpayment plus [...]

702, 2018

ATF Completes eRegulations Project: A Powerful Research Tool for Industry Members

February 7th, 2018|

The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) recently completed its eRegulations project, an electronic research tool of tremendous value for members of the firearms and explosives industries.  The eRegulations page, available at https://regulations.atf.gov/, provides a wealth of information on regulations implementing the federal firearms and explosives laws, including the Arms Export Control Act, Gun Control Act, National Firearms Act, and federal explosives laws. The eRegulations project is the brainchild of Andrew Lange, the Chief of ATF’s Office of Regulatory Affairs.  Mr. Lange is trained as a lawyer and recognized the importance of an online source of information [...]