ATF Ruling 74-8.
Advice has been requested whether the Bureau will approve
transfer of National Firearms Act weapons by a State or po-
litical subdivision (Police department) to a special
occupational taxpayer where such firearms were, registered in
the National Firearms Registration and Transfer Record
pursuant to 26 CFR 179.104. 26 CFR 179.104 provides that any
State, any political subdivision thereof, or any official
police organization of such a government entity engaged in
criminal investigations, which acquires for official use a
firearm not registered to it, such as by abandonment or by
forfeiture, will register such firearm with the Director by
filing Form 10 (Firearms), Application for Registration of
Firearms Acquired by Certain Governmental Entities, and that
such registration shall become a part of the National Firearms
Registration and Transfer Record.
The purpose of the above regulation was to permit the limited
registration of firearms by certain governmental entities for
official use only. 26 CFR 179,104 may not be used as a vehicle
to register otherwise unregisterable firearms for the purpose
of introducing such firearms into ordinary commercial
channels. Accordingly, when registration of firearms by
governmental entities are [SIC] approved on Form 10, the form
will be marked "official use only." The Bureau will approve
subsequent transfers of such firearms only to other
governmental entities for official use. Otherwise, such
firearms must be destroyed or abandoned to the Bureau.
