NFA Trust quesions

[usmcpaul]

What is an NFA Trust?

Can you have multiple people on/in it (2-???)...what ever it is.

Do the people on/in the trust have to be related by either blood or business..(e.g. Can multiple friends and family share a silencer?)

Clearly I am not a Lawyer, just wondering.

Lets say me and 6 of my friends/family want to try and get a Silencer through a trust...What are the pro's and cons? E.G. " if I want to go in on a Silencer and I have 4 people in my family and my buddy has 4 in his, can they all be in on it legally?"

[rjrivero]

What is an NFA Trust?

Can you have multiple people on/in it (2-???)...what ever it is.

Do the people on/in the trust have to be related by either blood or business..(e.g. Can multiple friends and family share a silencer?)

Clearly I am not a Lawyer, just wondering.

Lets say me and 6 of my friends/family want to try and get a Silencer through a trust...What are the pro's and cons? E.G. " if I want to go in on a Silencer and I have 4 people in my family and my buddy has 4 in his, can they all be in on it legally?"
I am not a lawer, so take this with a grain of salt.

A trust is an entity that can own property. That's it. The Trust can own cars, and guns, and money, etc. Whatever a person can own, a trust can own. So you can put your property, in this case silencers, in a TRUST, and the TRUST OWNS THAT PROPERTY. The trustees, named in the trust document itself, can have access to that property as outlined in the document.

You can add and remove trustees as you see fit (Provided you are the grantor of said trust).

As far as I know, trustees do not have to be related.

The benefits of having your NFA goodies in a Trust is that the trustees named in your trust can use your NFA goodies without you being present. If it is registered to an individual, you must be in "direct control" of that device at all times.

The other benefits are that you only have to register the NFA items ONE TIME for the life of the trust. As an individual, you would have to DIE in order for you to transfer your NFA goodies to someone else on a Form 5 (Free of tax transfer of inheritance) or they would have to pay a transfer fee to take the nfa goodies off your hands while you're still alive. On a trust, any trustee can take control of that item at any time.

The cons are that a trust takes some time and money. guntrustlawyers.com take $600 to write a trust. Lawyers on this board will do it for a bit less, like $400 give or take. That's the cost of 2 or 3 transfer taxes right off the top.

[Shyster]

I am not a lawer, so take this with a grain of salt.

A trust is an entity that can own property. That's it. The Trust can own cars, and guns, and money, etc. Whatever a person can own, a trust can own. So you can put your property, in this case silencers, in a TRUST, and the TRUST OWNS THAT PROPERTY. The trustees, named in the trust document itself, can have access to that property as outlined in the document.

You can add and remove trustees as you see fit (Provided you are the grantor of said trust).

As far as I know, trustees do not have to be related.

The benefits of having your NFA goodies in a Trust is that the trustees named in your trust can use your NFA goodies without you being present. If it is registered to an individual, you must be in "direct control" of that device at all times.

The other benefits are that you only have to register the NFA items ONE TIME for the life of the trust. As an individual, you would have to DIE in order for you to transfer your NFA goodies to someone else on a Form 5 (Free of tax transfer of inheritance) or they would have to pay a transfer fee to take the nfa goodies off your hands while you're still alive. On a trust, any trustee can take control of that item at any time.

The cons are that a trust takes some time and money. guntrustlawyers.com take $600 to write a trust. Lawyers on this board will do it for a bit less, like $400 give or take. That's the cost of 2 or 3 transfer taxes right off the top.
Let me add another twp advantages: No fingerprinting and no CLEO signoff. Because no fingerprinting is required there is no need for a delay while the FBI runs background checks.

While I have no doubt my CLEO would sign off I don't really feel the need to let my CLEO know what is in my safe (I am fairly well known in the department given my career choice LOL).

[klyph12]

Let me add another twp advantages: No fingerprinting and no CLEO signoff. Because no fingerprinting is required there is no need for a delay while the FBI runs background checks.

While I have no doubt my CLEO would sign off I don't really feel the need to let my CLEO know what is in my safe (I am fairly well known in the department given my career choice LOL).



Who's name goes on a form 5320.20 (temporary transfer out of state), trustee or trust name ?

[rjrivero]

Who's name goes on a form 5320.20 (temporary transfer out of state), trustee or trust name ?
No 5320.20 needed for suppressors.

[usmcpaul]

Thanks

[klyph12]

NFA weapons require a 5320.20 for temporary transport out of state

[rjrivero]

NFA weapons require a 5320.20 for temporary transport out of state
Not all of them. AOW's and Silencers don't require 5320.20 for intrastate transport.

SBR's, SBS's, DD's and Machine Guns do. See 5320.20 (http://www.atf.gov/forms/download/atf-f-5320-20.pdf)instruction (a).
So if you DO need to fill out a 5320.20 for a SBR/SBS (If they ever become legal in Michigan), DD, or a Machine gun on a TRUST:

Box 1 - Trust information
Box 12 - My name, Grantor and/or Trustee

I should add, you CAN fill out a 5320.20 for silencers or AOW's, and the ATF will approve them and send them back, however, it isn't REQUIRED.

If, however you MOVE the permanent address of the Trust, you will need to fill out a 5320.20 for your silencers to notify the NFA of that move. In this case, box 2 you check 'NO' and box 5 you put in "Permanent change of address."