Selling an SBR?

[sidewaysil80]

A friend of mine lives in another state and just created an “NFA” trust. He would like to buy one of my sbr’s so obviously a form 4 is involved from my trust to his. However, I’m unsure of the physical transfer.

1. He files a form 4 adding the sbr to his trust
2. Once approved sbr comes off my schedule A and added to his
3. He frequently returns to the same state I reside, with an approved form 4 can he just take possession of the sbr on his next subsequent visit, or does it still need to be shipped to an FFL...even though he just got form 4 approved?

My inclination is that since it’s going to his trust (not individual) and the form 4 is approved, he would be able to just take possession and bring it home. As much as I love this place I plan on consulting with the ATF to vet/confirm whatever answer I get, but I’m just curious of others experience or input. Not to mention to help form a ballpark plan.

Thanks,
Tim

[Bret]

I purchased a machinegun from an individual in another state, but the process should be the same. I can't help you with the trust part as everything I have is individual. You have to transfer the SBR to an FFL/SOT in his state and ship it once the transfer is approved. Then the FFL/SOT will then transfer it to him. This means two $200 transfers. If this is an AR15 SBR that you made on a Form 1, then it's likely not worth the cost and effort.

[sidewaysil80]

I purchased a machinegun from an individual in another state, but the process should be the same. I can't help you with the trust part as everything I have is individual. You have to transfer the SBR to an FFL/SOT in his state and ship it once the transfer is approved. Then the FFL/SOT will then transfer it to him. This means two $200 transfers. If this is an AR15 SBR that you made on a Form 1, then it's likely not worth the cost and effort.

That’s what I’m trying to figure out. I know instate doesn’t require ffl/sot with approved form 4, and obviously shipping requires it, but wasn’t sure if it’s required if dude is just picking up. Emailed ATF, so we’ll see what they arbitrarily decree based on who responds to the email.

[Bret]

I'm 99% sure that an interstate transfer requires and NFA item to be shipped to an FFL/SOT.

[jack crab]

Is your SBR an AR lower or something else?

If an AR, delist from the NFA registry, and sell to him as a plain old lower. It is the same $200 tax to him whether he does a Form 1 or Form 4. With a Form 1, he can take possession today, and wait for the stamp.

[MegademiC]

Is your SBR an AR lower or something else?

If an AR, delist from the NFA registry, and sell to him as a plain old lower. It is the same $200 tax to him whether he does a Form 1 or Form 4. With a Form 1, he can take possession today, and wait for the stamp.

This.

[gunnerblue]

Is your SBR an AR lower or something else?

If an AR, delist from the NFA registry, and sell to him as a plain old lower. It is the same $200 tax to him whether he does a Form 1 or Form 4. With a Form 1, he can take possession today, and wait for the stamp.

I was wondering if there was a fee for delisting but couldn't find one (I wouldn't think so). If not, this seems the easiest/cheapest
route.

[Bret]

Is your SBR an AR lower or something else?

I agree that's it's not worth doing if it's an AR lower that was SBR'd on a Form 1.

If an AR, delist from the NFA registry, and sell to him as a plain old lower. It is the same $200 tax to him whether he does a Form 1 or Form 4. With a Form 1, he can take possession today, and wait for the stamp.

There are actually two transfers for $200. Who pays them is up to the buyer and seller. One thing to keep in mind is that the buyer can't possess a < 16" barrel upper unless he has an SBR'd lower or a pistol lower. Also, if delisted from the registry, the buyer would have to engrave it again if he wanted to SBR it.

[juliet9]

Is your SBR an AR lower or something else?

If an AR, delist from the NFA registry, and sell to him as a plain old lower. It is the same $200 tax to him whether he does a Form 1 or Form 4. With a Form 1, he can take possession today, and wait for the stamp.

This it incorrect, and is consistently told about AR SBR's by folks that read to much crap on the internet. Removing the upper off the receiver, the registered piece, only TEMPORARILY changes the status according to the ATF. For example, you put a 16" upper on it to go target shooting, you would not be required to have your Form 1 or 4 present. However, the provision does not provide for changing the status so you can transfer/transport out of state as a Title 1 firearm to any entity. It is the receiver, not the upper.

[sandsunsurf]

If he’s a good enough friend, add him to your trust.