DaBull: ...Put simply, he wants me to be the transfer agent and NOT make a profit...simply do the transfer using my record.
You are licensed as a collector, not a dealer. Your friend wants you to become a felon.
He suggests that since I am not profiting from the deal, it does not violate the law.
Nowhere in Federal law does it say you required to make a profit on a firearm transaction. As you are the licensed collector you can only acquire eligible firearms for yourself. Acquiring firearm to transfer to other requires a dealers license.
zoom6zoom:...Conversely, if you bought two rifles, decided to keep the best one for your collection and sell off the extra one, that's just fine.
As long as the buyers information is recorded in the collectors "bound book" it should be okay. What
IS NOT okay is repeatedly acquiring multiple firearms and making it a practice to seel the "extra ones". That's dealing in firearms and requires licensing as such.
DaBull I just saw this response from an FFL on firingline:
A licensee may sell a firearm from his or her personal collection, subject
only to the restrictions on firearm sales by unlicensed persons, provided
the firearm was entered in the licensee’s bound book and then transferred
to the licensee’s private collection at least 1 year prior to the sale.When
the personal firearm is sold, the sale must be recorded in a "bound
book" for dispositions of personal firearms, but no ATF Form 4473 is
required
[27 CFR 478.125a]
Whoever posted that conveniently left out the most important part:
27 CFR 478.125a has nothing to do with 03FFL's (Collectors of Curios & Relics) it applies
ONLY to manufacturers, importers and dealers. It says so in the very first line of the first paragraph.
Quiet:...However, you are allowed to acquire a C&R firearm and then gift it. Transfer info must be recorded in your bound book and if asked about the transfer you can explain it was acquired as a gift.
Huh? I think you meant disburse instead of acquire in that last line. ATF doesn't care if a licensee (of any type) sells, trades, barters, buys, finds, discovers or whatever..........as long as the licensee records the aquisition and disposition of each firearm. If a C&R is acquiring and "gifting" firearms he's not using his license for his own collecting purposes and will be in hot water eventually.
sniper5: ..You could probably get away with acquiring and gifting once or twice...
Yep. But when ATF eventually does run a compliance inspection and sees that the collector has quite a few "dispositions" to his neighbor......it's too late.
cougar1717: ...the ATF sealed the transfer loophole with a seasoning period of one year so that C&R holders cannot purchase and distribute C&R firearms...
No such law or regulation.
Shadow 7D CITE THAT, sorry but I call BS cougar
I personally know some people who bought cases of SKSs and MN and sold off quite a few, they never had a problem because -- They were only recouping their cost, not making a lot of money, and their intent was to improve their collection, and they sold to other members of their rifle club.
And most importantly, they didn't pre sell the weapons.
Where do you want to start?
It doesn't take too much time to find out that buying CASES of firearms and selling them IS DEALING IN FIREARMS. Whether they were never caught or "never had a problem" is immaterial, as is whether they were "presold".......it
IS a violation of federal law to engage in the buying and selling of firearms without a license. (and a C&R IS NOT a license for dealing firearms)
Your friends are fortunate.
.
It's pretty simple, the ATF sealed the transfer loophole with a seasoning period of one year so that C&R holders cannot purchase and distribute C&R firearms. The choice is yours, however, if, by chance, you would get audited by the ATF, it would be your tail on the line, not your friend's if you had sold a firearm before the end of the one year seasoning period.
