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4/22/2019 5:32:20 PM
Posted: 4/16/2007 9:53:00 AM EDT
I've got several questions...

If a good friend of mine and I start a corporation to own NFA items? Can the corporation purchase Title 1 firearms? Also, if I set up the Corporation and live/attend school in a NFA-unfriendly state, can I keep the Corporation's NFA items in the state and still buy them in that State?
Link Posted: 4/16/2007 11:33:33 AM EDT
Link Posted: 4/16/2007 11:34:09 AM EDT
Corporation does not get you around the individual states bans

All items must be legal in the state you purchase/reside in
Link Posted: 4/16/2007 11:46:59 AM EDT

Originally Posted By tony_k:
A corporation can purchase either Title 1 or Title 2 firearms.

Corporations are subject to the same laws as an individual. So a corporation based in a non-NFA state still cannot possess NFA within that state.


So can more than one individual create a corporation to purchase title 1 and title 2 firearms? How do we go about doing this?

I'm not trying to have NFA items in NFA states, but if I move to a non-NFA state can I still store my NFA items under the corporation in a NFA-ok state? Can I still buy NFA items in the NFA-ok state if I love out of that state? If that makes sense....
Link Posted: 4/16/2007 12:28:24 PM EDT
[Last Edit: 4/16/2007 12:30:24 PM EDT by tony_k]
Link Posted: 4/16/2007 1:39:07 PM EDT
Thanks Tony_K. How do I go about setting up the corporation!?
Link Posted: 4/16/2007 1:47:14 PM EDT
You call a lawyer and pay them money to set up a corporation for you. Why can't you just get the CLEO signoff as an individual and not have to go through all the Corporate setup and maintenance stuff.
Link Posted: 4/16/2007 1:52:12 PM EDT
I could do that, but my friend and I both want to be able to shoot NFA items, and I may be moving out of state for school. I would still like to be able to purchase NFA stuff and keep them in the NFA-ok state.

Also, how do we purchase title I/Title II firearms as a corporation...?
Link Posted: 4/16/2007 5:37:10 PM EDT

Originally Posted By Jason_R:
I could do that, but my friend and I both want to be able to shoot NFA items, and I may be moving out of state for school. I would still like to be able to purchase NFA stuff and keep them in the NFA-ok state.

Also, how do we purchase title I/Title II firearms as a corporation...?


The hard part of that is creating/maintaining the corporation. Neither of you will own the items, neither of you can keep them if the corporation is not maintained. He better be a good trusted friend as what he does with the items can effect your assets in the corporation. Like I said before since you don't know what it takes, lawyer money to set this up will be the best bet. After the corporation exists the NFA part is as simple as filling out the form paying the tax and waiting for approval.

When away at school you can still have a second residency where your CLEO can sign for you personal items. Lots of people have residencies in non nfa and nfa states.
Link Posted: 4/16/2007 6:38:21 PM EDT

Originally Posted By David_Hineline:
When away at school you can still have a second residency where your CLEO can sign for you personal items. Lots of people have residencies in non nfa and nfa states.


I would do that, but the only residency I'd have is my friend's place, and I wouldn't be on the lease. You can buy firearms in Utah with just a license, but then I would have to keep a safe at his place, and from my understanding he couldn't have access to the NFA items.

I just don't want to do anything illegal...
Link Posted: 4/16/2007 9:04:08 PM EDT
If you put a trigger lock on the NFA weapon in his safe, then he does not have access to it.

Some people like the corporation route, I suggest you post in the hometown forum of your state and ask if anyone there knows what your state requires.
Link Posted: 4/17/2007 11:00:48 AM EDT

Originally Posted By David_Hineline:
If you put a trigger lock on the NFA weapon in his safe, then he does not have access to it.

Some people like the corporation route, I suggest you post in the hometown forum of your state and ask if anyone there knows what your state requires.


I humbly bow to your extensive experience but I would really like to see you put a trigger lock on a RDIAS
Link Posted: 4/17/2007 6:46:19 PM EDT
An RDIAS could be put in a small lockbox inside the safe, same result
Link Posted: 4/17/2007 7:50:54 PM EDT
So is it unlawful to let a friend or ANYONE else possess/have access to ANY NFA item?
Link Posted: 4/18/2007 8:00:51 AM EDT
[Last Edit: 4/18/2007 8:03:09 AM EDT by tony_k]
Link Posted: 4/18/2007 8:02:16 AM EDT
[Last Edit: 4/18/2007 8:02:46 AM EDT by tony_k]
Link Posted: 4/18/2007 8:47:13 AM EDT

Originally Posted By Jason_R:
Thanks Tony_K. How do I go about setting up the corporation!?


Tim Robbins: "Let me explain to you how this works: you see, the corporations finance Team America, the NFA, and then Team America, the NFA goes out... and the corporations sit there in their... in their corporation buildings, and... and, and see, they're all corporation-y... and they make money."
Link Posted: 4/18/2007 12:38:21 PM EDT
[Last Edit: 4/18/2007 12:39:37 PM EDT by Jason_R]
DOUBLE POST, hah.
Link Posted: 4/18/2007 12:39:19 PM EDT

Originally Posted By tony_k:

Originally Posted By Jason_R:
So is it unlawful to let a friend or ANYONE else possess/have access to ANY NFA item?

Correct.

If it is registered to an individual, even his wife cannot have access to it legally. That means she cannot have a key/combo to a safe where it is stored, unless it is trigger-locked separately, or inside a locked container placed inside the safe.

BTW, there are no restrictions about letting others possess/access/shoot MGs as long as the registered owner is present; they just must not have access when the registered owner is not around.


Gotchya. Would a trust work for me and a friend, or would it have to be a corporation?
Link Posted: 4/18/2007 1:54:54 PM EDT
Link Posted: 4/18/2007 7:41:40 PM EDT
Ok...
Link Posted: 4/19/2007 8:14:54 AM EDT
[Last Edit: 4/19/2007 10:05:32 AM EDT by ParatrooperJJ]

Originally Posted By Jason_R:

Originally Posted By tony_k:

Originally Posted By Jason_R:
So is it unlawful to let a friend or ANYONE else possess/have access to ANY NFA item?

Correct.

If it is registered to an individual, even his wife cannot have access to it legally. That means she cannot have a key/combo to a safe where it is stored, unless it is trigger-locked separately, or inside a locked container placed inside the safe.

BTW, there are no restrictions about letting others possess/access/shoot MGs as long as the registered owner is present; they just must not have access when the registered owner is not around.


Gotchya. Would a trust work for me and a friend, or would it have to be a corporation?


Assuming state law allowed it, yes. I would recommend using a LCC LLC for unrelated persons though.
Link Posted: 4/19/2007 9:05:27 AM EDT
A lot of people are going the trust route these days due to the simplicity of starting up and maintaining a trust, but I would suggest a corp or LLC instead for one reason.

What if the .gov came along and passd a law saying "no more transfers?"

Only NFA items held in a corp or LLC would be marketable. You can't sell a trust, but you can sell a company. Selling the company does not necessitate a transfer.

The market value of NFA items held in corps would skyrocket while the ones held by individuals and trusts would be rendered worthless.

I don't usually remark about his. Each person who acquires an NFA item as an individual or via a trust is making my NFA items worth that much more IF this scenario ever plays out.
Link Posted: 4/19/2007 9:08:24 AM EDT

Originally Posted By Jason_R:
Thanks Tony_K. How do I go about setting up the corporation!?


you can download LLC forms on da intrawebs and submit them on you own for $125.00 - that's how I got my stamp for my SBR build.
Link Posted: 4/19/2007 9:27:56 AM EDT
Ok thanks for the replies. Here's the deal..I'm moving back to California to finish college, but I still want to be able to purchase NFA items legally. They would be stored at my friends house (rented) in a safe. If we form the corporation, he can have access to them legally.

Now can I still buy Title I firearms in Utah legally? I do NOT want to break any laws, that's my main concern.
Link Posted: 4/19/2007 10:07:31 AM EDT

Originally Posted By Jason_R:
Ok thanks for the replies. Here's the deal..I'm moving back to California to finish college, but I still want to be able to purchase NFA items legally. They would be stored at my friends house (rented) in a safe. If we form the corporation, he can have access to them legally.

Now can I still buy Title I firearms in Utah legally? I do NOT want to break any laws, that's my main concern.


If you remain a legal resident of Utah then yes you can. Generally college attendance does not automaticly make you a resident.
Link Posted: 4/19/2007 10:49:59 AM EDT

Originally Posted By ParatrooperJJ:

Originally Posted By Jason_R:
Ok thanks for the replies. Here's the deal..I'm moving back to California to finish college, but I still want to be able to purchase NFA items legally. They would be stored at my friends house (rented) in a safe. If we form the corporation, he can have access to them legally.

Now can I still buy Title I firearms in Utah legally? I do NOT want to break any laws, that's my main concern.


If you remain a legal resident of Utah then yes you can. Generally college attendance does not automaticly make you a resident.


Ok...I moved from California in December...where I've lived for most of my life. I'll be paying in-state tuition (im paying out of state in Utah).

I just want to make sure everything is legal...
Link Posted: 4/19/2007 12:22:36 PM EDT
Link Posted: 4/19/2007 1:57:32 PM EDT
Gotchya. What's the definition of "maintaining a residence"? Do I have to be paying a rent/mortgage, or do I just need a location for mail/firearms?
Link Posted: 4/20/2007 9:12:53 AM EDT

Originally Posted By Jason_R:
Gotchya. What's the definition of "maintaining a residence"? Do I have to be paying a rent/mortgage, or do I just need a location for mail/firearms?


Bump. :)
Link Posted: 4/20/2007 12:06:58 PM EDT
[Last Edit: 4/20/2007 12:07:56 PM EDT by tony_k]
Link Posted: 4/20/2007 1:21:10 PM EDT
Thanks Tony. So If I form a corporation with a friend in utah, and I move out of state, the corporation can purchase NFA items through my friend, legally, and I can use them when I am in the state?
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