FAQs

Q: What is a Revocable Trust?

A Revocable Trust is also known as a living trust or an inter vivos trust. It is a type of legal entity recognized by state law. Other legal entities include corporations and limited liability companies. For a trust to exist, there must be a settlor (sometimes called a grantor), who creates the trust, and trust property, which is entrusted to a trustee for the benefit of a beneficiary.

According to federal law and regulations (Code of Federal Regulations (27 C.F.R. Part 179), Section 179.11), a 'person' may purchase NFA firearms, and the definition of a person includes legal entities, such as trusts and corporations.

Each day, the federal government's Bureau of Alcohol Tobacco, Firearms and Explosives (BATFE) approves applications for NFA firearms made by trusts. The Arsenal Gun Trust™ has become the solution of choice because it is designed particularly to protect gun owners and their loved ones.

Q: Why is a trust better than other legal entities?

Other legal entities, such as a corporation, require payment of fees to create them and annual fees and reporting to maintain them. Corporations must often submit their own tax filing even if they have no income.  If you ever dissolve the corporation, NFA firearms owned by the corporation must be transferred to a new owner, and each transfer would be taxed.

Q: What if I own NFA guns personally?

One of the greatest dangers of personally owning NFA guns is the legal restriction prohibiting anyone from handling your guns outside your presence. If you ever had an emergency, no one could help you without facing serious legal risks. Under the legal doctrine of constructive possession, no one else may even have the opportunity to gain access to your NFA guns. Practically speaking, this means your spouse would not be allowed to know where you hide the key to your gun cabinet. Also, we believe estate planning is the most overlooked aspect of firearms safety. If anything happens to you, NFA guns could create serious legal problems for loved ones who don't understand the law.

Q: Can I change the people or property in my Trust?

As the Settlor of the Trust (sometimes called 'grantor') you may change, amend, or revoke your Trust, and you may add or remove Trust property. As life evolves and relationships change, your Trust can adapt to your needs.

Your Arsenal Gun Trust™ consists of an extensive package of documents prepared by Arsenal Attorneys™. It is a user-friendly solution, so you may best decide how any changes should be done in the future. You will not be forced to pay an attorney to change or maintain your trust. For those who do prefer a professionally drafted amendment to their Trust, Arsenal Attorneys™ provide these services at discounted rates to their own clients.

Q: Will my Trust be valid if I relocate?

The Arsenal Gun Trust™ has been designed to exceed the typical state laws governing trusts nationwide. Also, the variation in states' laws concerning trusts is manageable because most jurisdictions use the Uniform Trust Code as a model for their legislation. When you do relocate, we recommend a review of your legal affairs by a lawyer licensed in your new home state.

Q: How does the Arsenal Gun Trust™ handle my NFA guns when I die?

While the Arsenal Gun Trust™ ensures your wishes concerning inheritance are respected, our document package will also provide guidance to help ensure your guns are handled in a lawful and safe manner. For this reason, we recommend you use the Arsenal Gun Trust™ to provide estate planning for your entire gun collection. The Arsenal Attorneys™ have designed this benefit mindful of your privacy. Your estate planning will not unnecessarily disclose the details of your trust property, and we can help you keep your gun collection out of the probate court system.

Q: How does the Arsenal Gun Trust™ protect me if I am incapacitated?

Through your personal consultation with Arsenal Attorneys™, we will identify others who may lawfully handle your firearms if you are incapacitated, and someone to ensure you are protected. For example, if you're hospitalized with mounting hospital bills, your 'successor trustee' may sell all or some of your trust property to support you. Equally important, your firearms will be safe, and the person(s) protecting your guns will not be at risk of violating the National Firearms Act.

Q: How does the Arsenal Gun Trust™ help me complete BATFE paperwork?

According to BATFE policy, you may use your Arsenal Gun Trust™ to submit BATFE Form 1 to manufacture an NFA gun or Form 4 to purchase one. In doing so, you will not be required to obtain the signature of your local Chief Law Enforcement Officer (CLEO) or to provide your fingerprints and mug shot. When answering the form's request for the 'maker' or 'transferee', you will identify yourself in the capacity of Trustee of your Trust, and you will attach a copy of your Trust. Each day, BATFE approves numerous applications using trusts in this manner.

You and your loved ones will also enjoy the benefit of the Arsenal Gun Trust™ user's guide. For years to come, it will be a useful reference to help you manage your Trust and use if for safe and lawful gun ownership.

Q:  Do I need a Class 3 license to own NFA guns?

No. A Class 3 license is required for a gun dealer who sells you an NFA gun. If you are eligible to own an NFA gun, you may submit either BATFE Form 1 or 4 to obtain permission from BATFE.

Q: Will the Arsenal Gun Trust™ protect NFA guns I already own?

Many of our clients already own NFA guns, and they transfer their existing NFA guns to their Arsenal Gun Trust™ to enjoy the benefit of the risk management and estate planning offered by our services.

Q: Does the Trust require a separate tax I.D. number and tax filing?

Your own revocable trust does not have a separate tax ID number. Any tax issues related to your trust would be addressed in your own personal tax filing just as they would if you did not have a trust. If your firearms often do not create tax issues for you, they are unlikely to do so once you create your Trust.

Q: Do I need an attorney?

One of the greatest dangers of using a flawed trust for NFA gun ownership is the possibility of having a false sense of security. When BATFE approves your transfer application, they're not declaring your trust legally valid. In fact, if a gun owner or his heirs later discover his trust was never properly created, BATFE could penalize them for unauthorized ownership of NFA firearms.

An attorney will ensure your trust is legally valid. If your attorney doesn't fulfill his professional duty to you, he will be held accountable. Your attorney can lose his law license, and his malpractice insurance could compensate you. Conversely, if your gun dealer provides or recommends a trust, he is committing the crime of practicing law without a license. You will have no recourse if he provides you bad advice, and his own insurance will not cover legal malpractice.

Generic trusts (including those provided by an inexperienced attorney), do-it-yourself kits, or anonymous comments on the internet are inherently risky. Trusts typically found online are not designed specifically for gun ownership, and they offer insufficient protection of your privacy, safety, or control over firearms.