ATF Announced it is Back to Accepting Form 1 Online

David Goldman, a Florida NFA trust attorney announced on his site today that ATF (Bureau of Alcohol, Tobacco and Firearms) can process Form 1s online again. While there is no word on electronic processing of Form 4 -- there is word that ATF is hiring at least a dozen legal examiners to help with the application load. The ATF reports processing loads around 6,000 a week, with a backlog of 62,000. Hopefully, the turnaround time for applications with move closer to the 10 week-window, rather than the 9-15 months seen in the past few months.

In the last month, ATF received more than 17,800 applications and processed more than 22,4000 applications.

Today I received an announcement and verified that you can now process Form 1s online again. For those with a Gun Trust, you can now process these electronically again. Still no word on when Form 4s will be available to process online.

If you are trying to predict the process timeline for an NFA item, you might the NFA tracker website helpful.

What are Trustees? How many can I have? And do we have to do any lame trust-building exercises?

No. I'll cut to the chase and say you should probably trust your Trustee...but if you get an urge to engage in any trust-building shenanigans like these: do us a favor and keep your NFA stuff out of it.

 A Trustee is the responsible person you put in charge of your stuff to make sure everything is done right. In the case of an NFA trust, this means that this person would have equal access to you, as the original Trustee and creator of the trust, to manage/transport/sell/use/etc. the trust property or NFA items.

 How many Trustees can I have on a gun trust? 

As many as you would like, though they should all be trustworthy individuals and free of any prohibiting gun ownership issues.

What can happen if someone has an item which is not registered to him or her  OR what can happen I can accidentally "transfer" my NFA item to someone who is not a registered user?

Violators may be fined not more than $250,000, and imprisoned not more than 10 years, or both. In addition, any vessel, vehicle or aircraft used to transport, conceal or possess an unregistered NFA firearm is subject to seizure and forfeiture, as is the weapon itself. [49 U.S.C 781-788, 26 U.S.C. 5861 and 5872]

Who can be a Trustee?

Any adult over the age of 21 who is not a prohibited person can be a co-trustee on a gun trust. However, since the individual will have present possessory rights to the property, it is recommended that only trusted family members or close associates be appointed co-trustees. A co-trustee can legally operate, store or travel with any NFA item without paying a transfer tax. The Gun Control Act (GCA) makes it unlawful for certain categories of persons to ship, transport, receive, or possess firearms. Transfers of firearms to any such prohibited persons are also unlawful. 18 USC 922(d).

Who is a Prohibited Person?

 Prohibited persons includes anyone: 

•  convicted of a crime punishable by imprisonment for a term exceeding one year; 
• who is a fugitive from justice; 
• who is an unlawful user of or addicted to any controlled substance; 
• who has been adjudicated as a mental defective or has been committed to any mental institution; 
• who is an illegal alien; 
• who has been discharged from the military under dishonorable conditions; 
• who has renounced his or her United States citizenship; 
• who is subject to a court order restraining the person from harassing, stalking, or threatening an intimate partner or child of the intimate partner; or who has been convicted of a misdemeanor crime of domestic violence (enacted by the Omnibus Consolidated Appropriations Act of 1997, Pub. L. No. 104-208, effective September 30, 1996). 18 USC 922(g) and (n). 

 The Arms Export Control Act (AECA) prohibits the issuance of licenses to persons who have been convicted of: 

• Section 38 of the AECA, 22 USC 2778; 
• Section 11 of the Export Administration Act of 1979, 60 USC App. 2410; 
• Sections 7903, 794, or 798 of Title 18, USC, relating to espionage involving defense or classified information; 
• Section 16 of the Trading with the Enemy Act, 50 USC App. 16; 
• Section 30A of the Securities Exchange Act of 1934, 15 USC 78dd-1, or section 104 of the Foreign Corrupt Practices Act, 15 USC 78dd-2;
• Chapter 105 of Title 18, USC, relating to sabotage;
• Section 4(b) of the Internal Security Act of 1950, 50 USC 783(b), relating to communication of classified information;
• Sections 57, 92, 101, 104, 222, 224, 225, or 226 of the Atomic Energy Act of 1954, 42 USC 2077 2122, 2131, 2234, 2272, 2275, and 2276;
• Section 601 of the National Security Act of 1947, 50 USC 421, relating to the protection of the identity of undercover intelligence officers, agents, and other sources; 
• Section 371 of Title 17, USC, when it involves conspiracy to violate any of the above statutes; and
• International Emergency Economic Powers Act, 50 USC 1702 and 1705. 

Can I add or delete Trustees later on?

Yes. My trusts are drafted so that each has an addendum immediately following the trust, which will be signed and notarized at the same time, authorizing additional co-trustees to the Trust. This makes it easier to add or remove trustees down the road as circumstances dictate without changing the text of the body of the trust.

All of these changes should be done to the document on a computer, and then printed out as an updated addendum. If you would like to add someone, simply add their name to the list of Co-Trustees and have them sign acknowledging their acceptance as a non-prohibited person capable of legally owning an NFA item. If you need to remove someone, remove their name and have the current co-Trustees sign the updated copy. You will also want to adjust your Trust Certificate accordingly so that it reflects the accurate makeup of the current Trustees. Once you are finished, destroy the old/void copies of the addendum and Trust Certificate.

What is the advantage of a gun trust?

A gun trust is the optimal vehicle for possessing NFA weapons because the trustee can include multiple co-trustees and allow each of them to transport and/or use the firearms without violating NFA and ATF regulations. A gun trust does not require registration with the state, has no annual filing or tax fees, and does not require the sign-off of the Chief Law Enforcement Office (CLEO) like the registration of an individual for an NFA item. Some CLEOs in certain jurisdiction refuse to sign the documents, preventing private individuals from lawfully acquiring NFA items. A gun trust also does not require fingerprints or a photograph to be included upfront with the ATF form.

Many gun owners desire privacy regarding their property. A properly drafted gun trust will also include succession-planning language, allowing the lawful transfer of items on the death or incapacity of the original trustees to successive trustees and/or beneficiaries. A trust allows an intergenerational transfer to happen outside of probate (and the public record)--saving time, money, and unwanted publicity. Some people believe the law might change with respect to the transfer of guns during your lifetime or at the owner’s death, making it difficult or even impossible for your heirs to inherit your guns. Using a trust could bypass these legislative changes and allow beneficiaries to legally enjoy the use of your guns after you are gone.

Carrying a gun in Utah

In Person

 It is unlawful for a person with or without a firearm permit to carry a firearm in the following locations:

•  Any secure area in which firearms are prohibited and notice of the prohibition is posted 
• A secure area of an airport 
• Any courthouse, churches if posted, mental health facility or correctional facility that may provide by rule that no firearm may be transported, sold, given, or possessed upon the facility. At least one notice should be displayed at each entrance to a secure area in which a dangerous weapon, firearm, or explosive is restricted.

It is unlawful to carry a firearm while under the influence of alcohol or a controlled substance with or without a permit. A concealed weapon permit is NO defense  to irresponsible possession while under the influence.

•  It is lawful to carry a firearm "capable of being concealed" in one’s home or place of business without a permit. It is unlawful to carry a loaded firearm on any public street without a concealed carry permit.

Carrying in Vehicles

 A person may not carry a loaded weapon in a vehicle unless they have a valid permit to carry or:

• They are at least 18 years old and 
• Has lawful possession of the vehicle or consent of the person who has lawful possession of the vehicle and the weapon is not a rifle, shotgun or muzzle-loading rifle It is lawful for a person with a concealed firearms permit to carry a firearm into a bus terminal.
• It is lawful for a person with a concealed firearm permit to board a bus or a train or enter a terminal with a firearm upon their person or effects. This also applies to law enforcement officers or commercial security personnel with firearms used in their employment. 

Laws governing the use of concealed firearms differ from state to state. It is important to understand the laws to ensure that your actions are in compliance with Utah law.
Sources: 53-5-704 Division duties - Utah Code § 76-10-501 et seq.

What kind of weapons are covered under the NFA?

Federal law, found in both the National Firearms Act and the Code of Federal Regulations (CFR Part 479) outline these items. Some examples include:

• Machine guns;
• The frames or receivers of machine guns;
• Any combination of parts designed and intended for use in converting weapons into machine guns;
• Any part designed and intended solely and exclusively for converting a weapon into a machine gun;
• Any combination of parts from which a machine gun can be assembled if the parts are in the possession or under the control of a person;
• Suppressors, and any part designed and intended for fabricating a supressor;
• Short-barreled rifles;
• Short-barreled shotguns;
• Destructive devices; and,
• “Any other weapon.”  

A few examples of destructive devices are:

• Molotov cocktails;
• Anti-tank guns (over caliber .50);
• Bazookas; and,
• Mortars

A few examples of “any other weapon” are:

• H&R Handyguns;
• Ithaca Auto-Burglar guns;
• Cane guns; and,
• Gadget-type firearms and “pen” guns which fire a projectile by the action of an explosive. So, essentially anything from a James Bond movie should be a tip-off.

[26 U.S.C. 5845]

Note also that certain parts which convert a firearm into an NFA firearms are also subject to registration, such as:

• An M-2 conversion kit
•  Any part designed and intended solely and exclusively to convert a weapon into a machine gun

What is a gun trust?

 A gun trust is a special legal entity created for individuals to own and operate certain property, usually weapons and accessories covered by the National Firearms Act or NFA. The revocable trusts are sometimes referred to as "Class 3" weapons, or Class 3 trusts.

NFA weapons include all fully automatic and select fire weapons, short barreled rifles and shotguns, and sound suppressors (silencers).

A gun trust is the optimal vehicle for possessing NFA weapons because the trustee can include multiple trustees/beneficiaries and allow each of them to transport and/or use the firearms without violating NFA and BATFE regulations. A gun trust does not require registration with the state, has no annual filing or tax fees, and does not require the signature of the Chief Law Enforcement Office (CLEO). Many CLEOs in certain jurisdiction refuse to sign the documents, preventing private individuals from lawfully acquiring NFA items. A gun trust also does not require fingerprints or a photograph to be included with the BATFE form.

Many gun owners desire privacy regarding their property. A properly drafted gun trust will also include succession planning language, allowing the lawful transfer of items on the death or incapacity of the original trustees. A trust allows such a transfer to happen outside of probate--saving time, money, and unwanted publicity.