The ‘Single Shot Trust’ Takes Aim At Post 41F NFA Buying

If you are a prospective buyer of National Firearms Act (NFA) firearms – silencers, short barreled rifles, machine guns, etc. – the post 41F world might be laced with trepidation. After all, it is true that everyone must now submit photographs and fingerprints along with their ATF Form 4 (transfer) or Form 1 (making) applications. Even if you are using an NFA trust.

Well, maybe not everyone.

Whereas the ATF has full authority to regulate NFA items, it accepts the fact that it has no control over US Trust Laws. In the days since the enactment of 41F, the agency itself has agreed that they have no control over the addition of subsequent trustees at any time during the life of the trust. Long story short, although the trustee must submit photographs and fingerprints for either a Form 1 or Form 4 Application, trustees added after the fact do not.

Yes! I’ve saved my spouse and 14 children the hassle of prints and photos!

Not so fast. That system works fine for a trust that owns only one NFA item. But, if the trust wants to make or transfer an additional NFA items, all of the trustees or “responsible persons” as deemed by the ATF must now submit prints and photographs.

So now what?

In an attempt to fill the void, Silencer Shop teamed up with Gun Trust USA to give NFA buyers options under the new rules: a legal NFA trust for each registered item. A buyer of a silencer for example, can now buy an NFA trust for each firearm/silencer, and legally add supporting trustees (a responsible person) after the approval and tax stamp are received.

You as the main trustee still have to submit fingerprints and photographs, but your spouse and 14 kids are now off the hook.

Silencer Shop has also included the Single Shot Trust into their kiosk network. Meaning if your prints and photos are already on file, there’s nothing left to do but buy your trust and silencer and everything is submitted to the ATF on your behalf. Everything can be done online through Silencer Shop.

From Gun Trust USA:

After you receive a tax stamp from ATF for The NFA Item, you may appoint eligible persons as Supporting Trustees to the Field1 Trust (“Trust”). A Supporting Trustee may legally possess or have access to the NFA firearm registered by your Trust, but he or she can do little more without the permission of the Trustee. You may print this form as many times as you need by using the ‘print current page’ command or by specifying that page number for printing. This cover sheet is not part of the ‘Appointment’ document.

From the Silencer Shop ‘Single Shot’ Page:

Why Use a Single Shot Trust?

Whether new to the wonderful world of silencers or an established collector, the Single Shot Trust might be the best option for you. Some of the benefits to this trust include:

  • Priced at $24.95, the Single Shot Trust is less burdensome on your bank account
  • Offered for $129.95, the Single Shot Unlimited Trust option is designed for devoted users
  • One-time purchase brings completion to suppressor ownership process
  • Elimination of time-consuming steps streamlines processing (no notary, state filing, etc.)
  • Ability for responsible persons/trustees to be added down the road affords flexibility
  • Automated system allows for quick purchase/submission of trust
  • Trust conveniently named for each NFA item purchased (e.g., “Q El Camino SN:0187 Trust”)
  • Digitally sign (i.e., DocuSign) Form 4 and be done in less than 30 seconds
  • Form 4 reviewed and submitted to ATF by Silencer Shop’s expert staff

Single Shot Trust Analysis:

Between the hope for the Hearing Protection Act, the post 41F “NFA Recession” and the new rules and regulations, tensions among consumers are uneasy at best and ‘stubbornly not buying anything’ at worst. Which in all honesty is a bit understandable. Paying $200 to wait a year or more is a maddening proposition.

But there is hope on the horizon (and I’m not talking about the HPA). A look at the data collected by NFA Tracker shows a dramatic decrease in ATF submissions after the new rules went into effect. Meaning that once the current deluge is processed, in all likelihood the wait times could be sitting at two months or less. That’s not to say you should wait to buy – it’s always advisable to buy what you want now and get in the ATF’s line for approval.

So, if there is a system in place where you can buy suppressors and no one who will be on your trust needs photos or fingerprints, we are almost back to the glory days of pre-41F trust submissions.

Some potential concerns to discuss:

  • A few states require a notary for signatures on legal documents like trusts, which means you will have to mail/scan/fax in your signature pages before it is ready for use. And there is the additional charge for the trusts. But in the grand scheme of things, $25 or $130 for the unlimited use version is a drop in the bucket compared to other NFA costs.
  • Then there’s the paperwork. Do you really want to deal with managing all those trust documents? The good news is that the trust documents will be scaled down to fit on two pieces of paper, front and back if you feel the need to carry them around with you (you are not required to carry trust paperwork).
  • Lastly, what about the ATF? Aren’t they going to take issue with multiple trusts? No, Silencer Shop has acquired the ATF’s approval for the use of the Single Shot Trust.

As a part of the Single Shot Trust program launch, Silencer Shop is giving away a Bowers ASP 45 Silencer and the $200 transfer tax here.

But here’s something else to consider – currently it is cost prohibitive to have a secondary “used silencer” market. Transfer fees and wait times necessitate buying new. However, with a legal entity owning a single NFA item, the trust itself can be sold and transferred along with its property. No $200 transfer fees, no wait times. Obviously, some legal consultation will be required for this advanced maneuver, but even so, the wait and money savings should make it worth everyone’s while.

For those of us who love silencers and other NFA items, this is not an easy time. But US Trust law continues to be a viable option when buying silencers.


Silencer Shop on Facebook

Silencer Shop Single Shot Trust



Pete

LE – Science – OSINT.
On a mission to make all of my guns as quiet as possible.
Pete.M@staff.thefirearmblog.com
Twitter: @gunboxready
Instagram: @tfb_pete
https://www.instagram.com/tfb_pete/


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  • Joe

    I see the difficulties posed by a 18 member trust, but I can’t see how that compares to removing CLEO’s arbitrary denial of NFA possession based solely on politics.
    Here’s to hoping the HPA passes, but the NFA and Hughes Amendment aren’t going anywhere.

  • Keiichi

    Interesting… thanks for the info, Pete.

    Still not gonna give them my photo and fingerprints.

    • Pete – TFB Writer

      Can’t say I blame you. The only thing I can offer is that by not buying NFA, they win.

      • Keiichi

        If I give them my identity info, they win.

        I guess they succeeded in creating a no-win situation for me.

        • aweds1

          I’m pretty sure the Social Security Administration and the IRS, at minimum, already have your identity. Other federal and local/ state government organizations do, too. Do you have a passport? Do you have a birth certificate? Do you have a driver’s license? Do you get direct deposit of tax refunds into your bank account? It’s the 21st century. Digitization has meant the death of anonymity and privacy.

      • TheUnspoken

        I think it is a clever solution to keep things moving until we see what might become reality. I have a project I need to turn into an SBR but didn’t want to go individual or mess with getting everyone for the current trust. Silencer shop has the SID and app for silencer purchases but form 1 transfers don’t benefit. But in this case perhaps you could go through gun trust USA directly for a single SBR. I will look into that.

    • IkidIkid

      I’m more than happy to send them a stool sample though…. 8D

      • valorius

        😀

  • it’s just Boris

    Very well, I’m done even considering purchasing one.

    This is a firearms accessory, not an international corporate shell. Suggesting yet more complexity and cost per item is not inducing me to purchase the two our household would like – his & hers home defense firearms.

    At this point I am definitely going to wait for HPA or an equivalent that removes the hassle. Until then we can get by with earplugs and / or active hearing protection.

  • Sunshine_Shooter

    Selling a trust… Now there’s an idea! Why has no one mentioned this before?

    • Fred

      Don’t get excited. The only lawyers that have spoken out about this say it’s likely illegal. I am aware of no attorneys offering legal advise saying it is legal to do so. Even silencer shop will not say it’s legal, they say in order to consider this you need to consult an attorney and they allude to it being a inheritance issue, not a sale for money – but they are very cagey and unclear on it.

      • Pete – TFB Writer

        Machinegun owners have been doing this for years. With attorneys. So, yeah.

        • Fred

          I am sure they have, I think this is mainly with corporations and not trusts. I would still love to hear an attorney articulate their reasoning why this would be perfectly safe from a legal standpoint with a trust. I am going to go with erring on the side of caution and say that mass execution of this is going to lead to charges of NFA/Tax evasion and possibly other criminal acts and it will quickly come to a stop. Just one man’s thoughts.

          • Pete – TFB Writer

            Easy way to find out. Call Gun Trust USA, the attorneys, and ask them.

          • Fred

            Don’t care enough to pay an attorney, not interested in selling my NFA items. However, if SilencerShop is advertising this as a feature, they should back it up. They haven’t.

          • Pumpkin King XXIII

            Oh come on, here’s what it say on thier trust page. It reassures me that I’m paying for something that’s worthless.
            “This form is not legal advice and is to be used at your own direction. Consultation with an attorney is highly recommended and this form is not a substitute for appropriate legal advice in your state”

          • Fred

            That’s the “Easy Transfer” process right… sounds easy for sure.

          • SPQR9

            Otherwise they are in violation of states’ prohibition on the unauthorized practice of law statute. You want to be covered by my malpractice policy, you gotta buy in.

      • Sunshine_Shooter

        I would pose it to a lawyer without mentioning that the only property owned by the trust is NFA items. Then after they’ve explained if a trust can or can’t be bought & sold between individuals, *then* mention the NFA items. Unless there is a difference between a trust and a NFA trust, then the advice should be good, right?

        • Fred

          Selling trusts is an interesting part of this, for sure. I cannot find any precedent for trusts being sold like this or what the legal framework would look like.

          Second, if the only and entire purpose of the trust is to evade the NFA process when selling the NFA item I think a DOJ AUSA might just think that’s awfully interesting way to evade NFA and the associated processes and taxes.

          The last thing I would want is sell a NFA trust, have that NFA item end up getting the attention of the DOJ for some reason – sold in mexico, in a house that gets raided, whatever… and have the ATF look up the item and find it was transffered to me as a RP on the trust and no further records on it. With this scheme you cannot get rid of that as the original RP.

          So then what? The ATF is going to come knocking at a minimum. If it pisses off the AUSA on the case, you could end up being indicted. You may win it, but an indictment for most is already the end of days. Lose your job, lose your ability to posses firearms, perhaps loose your family…

          • Juanito Ibañez

            While I’m almost certain you are using “AUSA” intending to represent ‘Assistant United States Attorney’, in actuality, that acronym is most commonly associated with the 67-year-old Association of the United States Army.

        • SPQR9

          Ask for legal advice from a lawyer, and then withhold important information from the lawyer.

          Brilliant.

    • nova3930

      I’m pretty sure a trust isn’t a transferable legal entity. If you wanted to transfer NFA items in this manner I think you’d have to go the corporation route.

  • Sianmink

    I believe this single-shot trust is tailored towards the eventual/soon passing of the HPA, cause these would be a pain in the ass down the road without it.

  • CATS:AllYourBaseAreBelongToUs

    Operation Loophole for great justice.

  • aweds1

    NFA is just too cumbersome… Over the years, I’ve bought and sold probably dozens of different firearms simply because they haven’t been shot much or there was an itch for something different. I’ve also moved all over the country and keeping track of individual state laws is enough of a pain by itself in terms of allowable firearms, magazine capacities, and specific licensing requirements for ownership and/ or purchasing. The NFA rules pretty much destroy the ability to easily move or buy/ sell on consignment because the transfer times are ridiculous, the $200/ ea tax is more cost, and the market for said NFA items is so much smaller than non-NFA firearms. NFA items are the definition of an illiquid asset because of the high transfer burdens. Unless or until the terms of processing NFA SBRs and suppressors change, I’m not buying.

    Out of curiosity, if the plunge in purchasing of NFA items post rule change is so dramatic, is there a law suit in there somewhere showing how the added burdens imposed are detrimental to the exercise of 2A rights?

    • Juanito Ibañez

      The National Firearms Act of 1934 – as well as all other subsequent federal gun control laws since – are most assuredly an unconstitutional “infringement” on the 2nd Amendment’s “right to keep and bear arms” … regardless of the results from the unconstitutional¹ hearing before the Supreme Court in 1939 re: United States of America v. Jack Miller and Frank Layton.

      1. Trial in absentia specifically violates the second principle of natural justice, audi alteram partem (hear the other party).
      ‘Hopt v. People of the Territory of Utah’ – 4 S.Ct. 202, 28 L.Ed. 262 (1884)

  • HumanWhirlwind

    If it’s a revocable living trust, why not just pull everyone out, get your new stamp, then add everyone back?

    • SPQR9

      Doing so without legal advice can result in accidentally making the trust invalid.

  • valorius

    Not. Worth. The. Hassle.

  • Seth Hill

    So here is my question; If you have multiple trustees in a trust that is used to hold multiple NFA trusts and you create a new trust for the NFA item, do all of the trustees of the holding trust have to jump through hoops or can just one?

    • SPQR9

      That made no sense. Perhaps you can rephrase your question.

      • Seth Hill

        So maybe this will help:

        Holding Trust (Joe, Sally, Paul)
        |
        NFA1 Trust/NFA2 Trust/NFA3 Trust

        So if NFA4 Trust is created to add a new NFA device to the collection and NFA4 is going to be owned by the Holding Trust, can just trustee Joe’s fingerprints, etc be used or will Sally and Paul’s also need to be done too?

        • SPQR9

          Having a trust “own” another trust is both silly and dangerous. It really confuses how trusts work as an construct of law. No one “owns” a trust as a matter of law. There are Settlors, Trustees and Beneficiaries.

          • Seth Hill

            It is done quite often, especially for the purpose of investing or even for the purposes of “inheritance”. The holding trust would be the trustee of the new trust, therefore it would “own” it. A trust does not die when a trustee dies, that is why it is used for estate planning quite often.

          • SPQR9

            No, you’ve gotten several concepts confused. A trust cannot be a trustee. Its not that kind of independent entity.

          • Seth Hill

            Please enlighten us how it would be dangerous.

  • nova3930

    Why not just structure your trust like I did. It takes one sheet of paper to add a trustee or beneficiary and one sheet of paper to remove them. Since you gotta wait 8 months for approval anyway, the extra 5 minutes on each end to modify the trust is minor….

  • chedolf

    NFA Tracker average time (rolling 12 months) – check cashed:
    F1 Individual – Paper: 20 days
    F4 Individual – Paper: 37 days

    My time
    F1 Individual – Paper: 10 days (12/2016)
    F4 Individual – Paper: 12 days (2/2017)

    Possibly a good sign, although I used CC rather than check.

  • Pumpkin King XXIII

    I would prefer them to just drop the price for thief regular trust. Right now I would be the only one on the trust but in the future adding more to multiblevtrusts would be a pain in the butt.
    There is two silencers I would buy today that they have in stock, if they would either wave the trust.

  • Pete – TFB Writer

    Posting a comment for user ‘Chedolf’ that was marked as spam. Thanks for emailing me:

    …once the current deluge is processed, in all likelihood the wait times could be sitting at two months or less.

    NFA Tracker average time (rolling 12 months) – check cashed:
    F1 Individual – Paper: 20 days
    F4 Individual – Paper: 37 days

    My time:
    F1 Individual – Paper: 12 days (2/2017)
    F4 Individual – Paper: 10 days (12/2016)

    Possibly a good sign, although I used CC rather than check.

    • Cymond

      My check was cashed in July. I still don’t have my stamp. I don’t think the check cashing has much/anything to do with processing times.

    • kcshooter

      The check for my F1 stamp was cashed in July also. Took them 8 days from when I mailed it to charge me. Still waiting.
      My first F1 took 3 months in 2014-15.

  • Andrew

    Gee what a surprise. Now that the use of trusts is in decline because there is less benefit to holding your NFA items in a trust, a company that sells trusts announces that not only should you still use a trust to buy NFA items but you should spend even more money to create separate trusts for each item you own. Total waste of money. If all your buddies and relatives want to shoot your NFA guns they should be willing to deal with the minor hassle of getting prints taken.

  • thedonn007

    Do you have to purchase from silencershop to use this?

  • screw the atf and its unconstitutional agents

  • Jim Jones

    The lawyers among us have been saying this all along. This puts the ATF in a bind since they do not control trusts as instruments of law. There is bupkus they can do about this other than outlawing trusts as owners of NFA items, and that would open up quite the can of worms.

  • survivor50

    So…If I want a “CAN” for all my fire arms, I need 47 TRUSTs ???
    I don’t think this’ll fly either. Let’s get this stupid law repealed and be done with it.

  • uisconfruzed

    What if you have multiple trusts that have the same name? Can they be combined into one later, all the items on one addendum page of one trust?

  • Colonel K

    It’s a clever solution, but one that does not address the purchaser who does not want to submit his personal information and fingerprint cards to ATF. There is no getting around that issue unless President Trump issues an order changing it or Congress revises the law.