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Posted: 2/28/2015 12:10:01 AM EDT
I am interested in starting a gun shop.  I intend on having lower receivers made with my roll mark and assemble custom ar15s on a per order basis as well as have a few low end builds on the shelf for sale.  If I am understanding the sea of information on the BATFE website correctly, I have to apply for a 07 FFL, and register with ITAR (even though I will not be importing or exporting), and pay the 11% excise tax on the ARs that I build (provided I build 50 a year or more).  This will not be the only thing offered of course, but the only "manufacturing" that I intend on doing.  Even though I am not machining parts in house, and only assembling them ITAR is still an issue, am I understanding this correctly?
Link Posted: 2/28/2015 12:13:24 AM EDT
[#1]
Correct on all counts.
Link Posted: 2/28/2015 1:16:11 AM EDT
[#2]
Doesn't the ITAR have an annual fee in addition to the 11%...something to the tune of $2500 per year.
Link Posted: 2/28/2015 12:05:07 PM EDT
[#3]
Yes, ITAR is $2250 a year and the 11% is a different fee.  Definitely not friendly to a smaller operation or trying to start-up
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