Are you talking about when using EForm 4? If so, then yes the approval email with the pdf of your stamped Form 4 is sent to both you and your dealer.
With the one I just got back, SS somehow got notified, because I got an email from them saying it was approved a few hours later, but I strongly suspect they aren’t getting told by the ATF. The ATF wouldn’t know that SS was involved, plus they aren’t going to send tax information to someone outside of the transferor and transferee. More likely it’s the dealer updating their SS inventory that lets SS know that it’s approved.