If you have been around guns for awhile you have probably heard talk of Gun Trusts. For decades people have been leveraging the law to protect themselves from the legal drama and issues surrounding NFA firearms and suppressors. Now the AFT is changing their rule and closing the best loophole we've ever had.
Buying firearm or suppressors that are regulated in Title 2 of the Gun Control Act can sometimes be difficult. The buyer has to obtain permission from a local law enforcement chief and has to pay the ATF a one time registration tax of $200.
Once the background check is approved and the gun owner takes possession they have to be super careful about who handles those firearms or items since allowing anyone to handle them who outside of their presence is a felony by both parties.
For years gun owners have been forming trusts, often referred to as Gun Trusts to avoid a few of these things. By having a gun trust the buyer didn't have to obtain permission from the local chief and was able to name various family members in the trust so any of those individuals could handle the firearm and take possession of the firearm or items upon the death of the original owner/licensee without any felony charges.
On July 13th, 2016 the ATF is changing their rules to put an end to this. Effective July 13th, a gun trust will no longer protect non-licensed people named in a trust from prosecution when they handle or come into possession of a NFA firearm or item.
If you have been thinking about getting a gun trust and adding some NFA controlled firearms or items to your portfolio now is the time to move on this. Get it done before July 13th of 2016 and enjoy the grandfathered laws.
If you are interested or would like to learn more about gun trust we have worked with our favorite estate attorneys to come up with this guide: “Gun Trusts: Owning and Transferring Class 3 Guns and Suppressors”