Setting Up A Gun Trust is Easy
At 2ATrusts.com, our target is to provide you with the best DIY NFA trust forms possible. This, in turn, will make it easier for you to purchase, own, and share firearms regulated under the National Firearms Act. It also minimizes possible impacts from the proposed ATF Rule 41P, making sure your successors know what to do should something unfortunate happen to you.
Part of this commitment to providing you a comprehensive trust is giving you the information and support you need to create a gun trust. More than the document itself, we also provide you with a complete guide that will tell you how to set up a gun trust.
2ATrusts.com will provide you with the right NFA DIY gun trust template, which you will need to complete on your own. The process is quite simple and includes filling out the form and having it notarized. Our trust gives you the peace of mind of knowing your assets are safe.
We will walk you through each step to ensure you set up a gun trust that covers all your needs and complies with all legal requirements. What’s more, our trust covers more than the basics because it was prepared by lawyers. The document is easily modifiable to allow for the addition or removal of future trustees or beneficiaries.
Our trusts deal with issues often not discussed in standard trust documents. We also provide the necessary information and support so you can create a gun trust that suits your needs.
How to Set Up an NFA Gun Trust
If you own or possess Title II firearms as designated under the National Firearms Act (NFA) that you love, you know it’s critical to have the legal paperwork in order to avoid potential felony criminal prosecution for violating the NFA regulations. The best option is to set up an NFA gun trust that can protect you, your loved ones, and your firearms. You might choose to consult an attorney to create a gun trust, or you might prefer to do it on your own. If you are planning the DIY route, here are some important things to know about the process.
Understanding NFA Terminology
When you create a gun trust, you need to have a clear understanding of some of the basic terminology you will see during the process.
- Title II: the term for firearms, munitions, and other devices that are regulated on a federal level under the National Firearms Act (NFA).
- Class 3: an occupational tax that is applied to dealers who want to sell firearms, and a term that is sometimes mistakenly used interchangeably with “Title II” when referring to NFA-regulated firearms.
- National Firearms Act (NFA): the federal act that regulates and imposes statutory excise tax on the manufacture and transfer of certain restricted firearms and munitions.
- Form 4: the application for Tax Paid Transfer and Registration of NFA firearms, which you send to the Bureau of Alcohol, Tobacco, Firearms& Explosives (ATF or BATFE).
- Trust: the legally organized entity that owns and manages the NFA property. A trustee is a person who is legally designated to make decisions and access the items owned and managed by the trust.
Options for Setting Up a Trust
If you search online for information about setting up a gun trust, you probably know that there is a lot of advice (as well as a lot of misinformation out there) about getting this type of protection for your Title II firearms. The most common routes that people take when planning to set up the trust include:
- Copying another trust
- Consulting with an attorney who has experience with non-NFA trusts
- Using a template to create the trust on your own
- Consulting with an attorney who has experience with NFA gun trusts
The first option is not advisable, since these trusts should be catered to your individual needs and your state laws and you might miss a critical step in the process if you simply copy the information from another trust. The second option is also not advisable, since gun trusts have very specific requirements and are not the same as other trusts. Again, if you miss a critical component you could put yourself or others in serious legal trouble.
Using an NFA gun trust template or consulting with an attorney who has experience with these types of trusts are the best options, and even if you plan to do it on your own, it might be a good idea to at least consult with a local attorney who understands your state laws regarding possession of Title II firearms.
Common Misconceptions When Setting Up a Trust
The most common issue that arises when someone wants to create a gun trust is understanding the laws and how they apply to your firearms in your state. It’s important to realize that out-of-state family members might not be able to join your trust and purchase NFA-regulated items as trustees, there are variances in state laws that can impact your gun trust, the rules regarding restricted and non-restricted items within the same trust can vary, and when you set up a trust in one state it does not necessarily follow you if you move to a new state.
How to Set Up a Gun Trust
When you decide you want or need an NFA trust, the first step is to get the appropriate materials for the trust. That means either meeting with an attorney if you plan to go that route, or finding the best gun trust template so you have all the right documentation and instructions.
You also have the option to set up a bank account that is owned and managed by the trust. That way if you would like to purchase new firearms that will be protected by your trust, you can do it from a trust-owned bank account rather than your personal financial accounts.
After these things are in place, the next step is to fill out paperwork at the gun dealer, pay for your firearms, and send a copy of all the documentation to the ATF/BATFE. They will review your submission and either green-light the purchase by sending back your documentation with tax stamp information included, or they might reject the purchase if they find errors in your organizational documents that must be fixed and re-submitted. Once you get ATF/BATFE approval, you have a Title II item registered to your trust.
As with any legal document, it’s important to keep all your trust documentation at all times in case there is a questions about your possession of restricted firearms, and keep it updated as you make changes to the trust.
You can set up a gun trust as both an estate planning tool, and a tool that provides flexibility in acquiring and transferring NFA-regulated items. It allows you to designate others who can possess and use these items, and protects your privacy since you won’t need to inform the ATF/BATFE or your local chief law enforcement office (CLEO) about every new purchase. It also allows for transfer of property if you become incapacitated or die without going through traditional probate and public notification.
Talk to our team today and we’ll be glad to help in starting your trust.