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Picture of AUTiger89
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I haven't even received approval on mine yet, but I'm assembling documentation for my trust notebook, and I was wondering: What happens should I decide I wanted to sell a suppressor out of my trust?

I've seen threads on selling an SBR or removing it from a trust (which were very helpful by the way) but nothing on selling suppressors.




Phone's ringing, Dude.
 
Posts: 6175 | Location: Upstate SC | Registered: April 06, 2011Reply With QuoteReport This Post
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no different than any NFA item (obvious exception is if you can get the item out of the NFA which might be true for many SBR's). The problem is that the transfer tax situation is a substantial part of the pricing so its not a very economic situation, but its certainly legal to do so.


“So in war, the way is to avoid what is strong, and strike at what is weak.”
 
Posts: 11220 | Registered: October 14, 2004Reply With QuoteReport This Post
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Indeed no different than any other sale. As long as you're authorized to manage the trust than you can do what you want with it.

I don't know how your particular trust is organized, but maybe you note the disposition of it in the schedule of property.
 
Posts: 5235 | Location: Iowa | Registered: February 24, 2011Reply With QuoteReport This Post
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New suppressor technology comes out- older suppressors lose value over time. $200 tax stamp is required for in state transfer. Out of state requires 2 $200 tax stamps - so out of state transfers are too expensive to consider.
 
Posts: 2385 | Location: Southeast CT | Registered: January 18, 2009Reply With QuoteReport This Post
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Why 2 tax stamps?

quote:
Originally posted by SIGfourme:
New suppressor technology comes out- older suppressors lose value over time. $200 tax stamp is required for in state transfer. Out of state requires 2 $200 tax stamps - so out of state transfers are too expensive to consider.




Phone's ringing, Dude.
 
Posts: 6175 | Location: Upstate SC | Registered: April 06, 2011Reply With QuoteReport This Post
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quote:
Originally posted by AUTiger89:
Why 2 tax stamps?

quote:
Originally posted by SIGfourme:
New suppressor technology comes out- older suppressors lose value over time. $200 tax stamp is required for in state transfer. Out of state requires 2 $200 tax stamps - so out of state transfers are too expensive to consider.


Because you you can’t sell an NFA item directly to someone in another state. You have to go through a FFL your state to transfer the NFA item to another FFL in the buyer’s state. The FFL to FFL transfer is the second $200, which the buyer usually pays.
 
Posts: 3439 | Location: South FL | Registered: February 09, 2007Reply With QuoteReport This Post
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quote:
Originally posted by Dwill104:
quote:
Originally posted by AUTiger89:
Why 2 tax stamps?

quote:
Originally posted by SIGfourme:
New suppressor technology comes out- older suppressors lose value over time. $200 tax stamp is required for in state transfer. Out of state requires 2 $200 tax stamps - so out of state transfers are too expensive to consider.


Because you you can’t sell an NFA item directly to someone in another state. You have to go through a FFL your state to transfer the NFA item to another FFL in the buyer’s state. The FFL to FFL transfer is the second $200, which the buyer usually pays.


Unless I’m sorely mistaken, the suppressor is transferred from your FFL/SOT to the other FFL/SOT on a Form 3 which is a tax exempt transfer from SOT to SOT. The receiving FFL does the Form 4 for the final recipient.


******************************

May our caskets be made of hundred-year oak, and may we plant those trees tomorrow.
 
Posts: 817 | Location: Eastern Iowa | Registered: January 03, 2014Reply With QuoteReport This Post
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quote:
Originally posted by Revolution37:
quote:
Originally posted by Dwill104:
quote:
Originally posted by AUTiger89:
Why 2 tax stamps?

quote:
Originally posted by SIGfourme:
New suppressor technology comes out- older suppressors lose value over time. $200 tax stamp is required for in state transfer. Out of state requires 2 $200 tax stamps - so out of state transfers are too expensive to consider.


Because you you can’t sell an NFA item directly to someone in another state. You have to go through a FFL your state to transfer the NFA item to another FFL in the buyer’s state. The FFL to FFL transfer is the second $200, which the buyer usually pays.


Unless I’m sorely mistaken, the suppressor is transferred from your FFL/SOT to the other FFL/SOT on a Form 3 which is a tax exempt transfer from SOT to SOT. The receiving FFL does the Form 4 for the final recipient.


Well, maybe it’s the transfer from the seller to their FFL. Either way, it’s two tax stamps.
 
Posts: 3439 | Location: South FL | Registered: February 09, 2007Reply With QuoteReport This Post
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Transferring an NFA item from a non-licensee to a licensee is a tax paid transfer on a Form 4. Dealer to dealer is tax-free on a Form 3. Dealer to buyer is tax paid on a Form 4.

Selling to an individual out of state requires two tax paid transfers.
 
Posts: 5235 | Location: Iowa | Registered: February 24, 2011Reply With QuoteReport This Post
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But you may not need the tax free F3 as you could deliver the suppressor to the Dealer yourself (if practical) So depending on the situations in addition to the 2 tax stamps the dealers may charge additional fees for shipping or processing the F3/F4. So the net is that the money involved in the transfer negates any benefit to selling for all but the most exotic and pricey stuff.


“So in war, the way is to avoid what is strong, and strike at what is weak.”
 
Posts: 11220 | Registered: October 14, 2004Reply With QuoteReport This Post
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