NFA manufacturing?

[MagKnightX]

I know that you cannot make machine guns unless they are expressly for sale to LE and/or Mil. That is, however, not something I think I would mind.

How does one go about getting to legally manufacture NFA items? I know that there is a particular form with a rather hefty tax, but do you also have to fill out a Form 1 I think it is (tax paid manufacture of a firearm) and wait to make each one? I should think not, but I don't know. Can you sell supressors, SBS/Rs, and AOWs to Class 3 FFLs for sale to civilians? If you are trying to sell MGs to LE, but can't get a contract, what do you do? Can you let non-LE civilians use, but not own, your MGs, I. E. bring them to Rock Creek and let 'em have a whirl? Do you also need a Class 3 FFL?

I gots a few ideas that might make for a nice little business in the future, but you of course want to be 100% legal.

 

[Hkmp5sd]

First, it's going to be expensive. You need a SOT (Special Occupational Tax) to manufacture NFA items. That's $1000/yr. You also need all state and local business licenses, tax numbers, employer ID numbers and anything else required to operate a gun business. There is also extensive records to be maintained.

You cannot begin "making" machineguns for sale to LEO/Gov. You will need a written request from some LEO/Government agency and approval from ATF before you can manufacture a machinegun.

However, you can manufacture the other NFA items. You don't have to pay an extra tax for each. You just register them with ATF. As a manufacturer, you can sell the NFA items to any other NFA licensed dealer or to civilians on a Form 4 from your licensed premises.

For a part-time enterprise, I don't think you would make much money manufacturing and selling NFA items to civilians. It would still be far cheaper and easier just to pay the $200 tax on each NFA item you want to manufacture for yourself.

 

[ACP230]

Small Arms Review has covered the various manufacturing licenses in past issues.

Dan Shea's book "Machinegun Dealer's Bible," would also be helpful.

Info on both can be found at www.smallarmsreview.com.

It will take a while to navigate around on it as it is clunky, but most of your questions could be answered on the BATFE website also.

The subject is hedged around with laws, regulations and bureaucratese by the yard. It is hard to try and stuff enough to be helpful into a post.