I offer a comprehensive NFA Trust instrument customized to your needs for a flat-fee of $100 which is billed after the trust documents have been delivered and accepted.
If you are not happy with the trust then you do not pay. It’s as simple as that.
If you are already familiar with the benefits of an NFA Trust, then feel free to contact me to discuss your needs.
If you are not sure why you might want to use a trust to start your NFA collection, then I hope I can help answer your questions.
Why Should I Use an NFA Trust?
I am often asked why a person would need or want to form a trust in order to acquire NFA items rather than simply acquiring them as individuals. I will try to answer this question by discussing the many benefits an NFA trust provides.
ATF Regulatory Benefits
The immediate benefits are in how the ATF process differs for trust applicants vs individual applicants. Current ATF regulations require individual applicants to get sign-off from their local chief law-enforcement officer (CLEO). This is known colloquially as the ‘CLEO Signoff.’
In many jurisdictions, the CLEO will not sign the form which acts as an effective ban on the acquisition. However, trust applicants do not need CLEO Signoff.
Another benefit of being a trust applicant is that, unlike individual applicants, fingerprints are not required as part of the application packet.
Estate Planning Benefits
From an estate planning perspective, having your NFA assets in a trust allows them to avoid probate and pass seamlessly to your beneficiaries tax-free on a Form 5.
If any of the beneficiaries are under the age where they may legally possess the NFA items, then the trust will continue to hold the assets until such time as the beneficiary may legally take possession.
In addition, the trust contains instructions on how a successor trustee is to handle beneficiary distribution in the case that one of more beneficiaries becomes a disqualified person.
Asset Protection Benefits
That brings us to our next benefit. People often forget is that, if not handled very carefully, NFA items can easily become contraband when held by an individual who passes away or becomes a disqualified person. And when an NFA item becomes contraband, it can never again be legally transferred; the value of the item is simply lost.
By holding your NFA items in a properly formed trust that is specifically focused on the protection of the assets in the trust, you insure that the value of your items is protected for your beneficiaries.
Expanded Usability of Your NFA Item
At let’s not forget about the fun of actually using your NFA items. Under a strict reading of the law, you place yourself and others in legal jeopardy if an individual owner allows someone else to possess their NFA items.
However, when a properly structured trust owns the NFA items, all current trustees may possess them. Trustees may also designate those they shoot with as temporary beneficiaries. This allows the trustees to permit those temporary beneficiaries to use the NFA item while in their presence.
If you are interested in an NFA trust, feel free to contact me. In less than 10 minutes I can collect the necessary information to draft your trust.
I also offer a flyer which outlines the benefits in a concise one-page format.