[Title 27 CFR ]
[Code of Federal Regulations (annual edition) - April 1, 2004 Edition]
[From the U.S. Government Printing Office]
[[Page i]]
27
Part 200 to End
Revised as of April 1, 2004
Alcohol, Tobacco Products and Firearms
________________________
Containing a codification of documents of general
applicability and future effect
As of April 1, 2004
With Ancillaries
Published by
Office of the Federal Register
National Archives and Records
Administration
A Special Edition of the Federal Register
[[Page ii]]
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[[Page iii]]
Table of Contents
Page
Explanation................................................. v
Title 27:
Chapter I--Alcohol and Tobacco Tax and Trade Bureau,
Department of the Treasury (Continued) 3
Chapter II--Bureau of Alcohol, Tobacco, Firearms,
and Explosives, Department of Justice 41
Finding Aids:
Table of CFR Titles and Chapters........................ 219
Alphabetical List of Agencies Appearing in the CFR...... 237
List of CFR Sections Affected........................... 247
[[Page iv]]
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Cite this Code: CFR
To cite the regulations in
this volume use title,
part and section number.
Thus, 27 CFR 275.1 refers
to title 27, part 275,
section 1.
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[[Page v]]
EXPLANATION
The Code of Federal Regulations is a codification of the general and
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Each volume of the Code is revised at least once each calendar year
and issued on a quarterly basis approximately as follows:
Title 1 through Title 16.................................as of January 1
Title 17 through Title 27..................................as of April 1
Title 28 through Title 41...................................as of July 1
Title 42 through Title 50................................as of October 1
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collection request.
[[Page vi]]
Many agencies have begun publishing numerous OMB control numbers as
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[[Page vii]]
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Raymond A. Mosley,
Director,
Office of the Federal Register.
April 1, 2004.
[[Page ix]]
THIS TITLE
Title 27--Alcohol, Tobacco Products, and Firearms is composed of two
volumes, parts 1-199 and part 200 to end. The contents of these volumes
represent all current regulations issued by the Bureau of Alcohol and
Tobacco Tax and Trade Bureau, Department of the Treasury, and the Bureau
of Alcohol, Tobacco, Firearms, and Explosives, Department of Justice, as
of April 1, 2004.
For this volume, Carol A. Conroy was Chief Editor. The Code of
Federal Regulations publication program is under the direction of
Frances D. McDonald, assisted by Alomha S. Morris.
[[Page x]]
[[Page 1]]
TITLE 27--ALCOHOL, TOBACCO PRODUCTS AND FIREARMS
(This book contains part 200 to End)
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Part
chapter I--Alcohol and Tobacco Tax and Trade Bureau,
Department of the Treasury (Continued).................... 275
chapter II--Bureau of Alcohol, Tobacco, Firearms, and
Explosives, Department of Justice......................... 447
Cross References: U.S. Customs Service, Department of the Treasury: See
19 CFR chapter I.
Federal Trade Commission: See 16 CFR chapter I.
Food and Drug Administration, Department of Health and Human Services:
See 21 CFR chapter I.
Foreign Trade Statistics, Bureau of the Census, Department of
Commerce: See 15 CFR part 30.
Postal Service: See 39 CFR 111.5(a)(2)(iii) or Domestic Mail Manual
123.3.
Other regulations issued by the Department of the Treasury appear in
title 26 and 31 CFR chapter I.
Abbreviations Used in This Chapter:
ATF = Alcohol, Tobacco and Firearms.
TD = Treasury Decision.
[[Page 3]]
CHAPTER I--ALCOHOL AND TOBACCO TAX AND TRADE BUREAU, DEPARTMENT OF THE
TREASURY (CONTINUED)
--------------------------------------------------------------------
Editorial Note: The regulations appearing in this title were
originally issued by the Federal Alcohol Administration, which was
abolished by Reorganization Plan No. III, Apr. 2, 1940, 5 FR 2107, 3
CFR, 1940 Supp. Treasury Order 30, June 12, 1940, 5 FR 2212, issued
under sections 2 and 8 of Reorganization Plan No. III (54 Stat. 1232)
provided that these regulations continue in effect as regulations of the
Bureau of Alcohol, Tobacco and Firearms.
SUBCHAPTER M--ALCOHOL, TOBACCO AND OTHER EXCISE TAXES (CONTINUED)
Part Page
200-274 [Reserved]
275 Importation of tobacco products and
cigarette papers and tubes.............. 5
285 [Reserved]
Supplementary Publications: Additional supplementary publications are
issued covering individual parts of the Alcohol, Tobacco and Firearms
Regulations, the Tobacco Tax Guide, and Regulations Under Tax
Conventions.
[[Page 5]]
SUBCHAPTER M_ALCOHOL, TOBACCO AND OTHER EXCISE TAXES (CONTINUED)
PARTS 200 274 [RESERVED]
PART 275_IMPORTATION OF TOBACCO PRODUCTS AND CIGARETTE PAPERS AND
TUBES--Table of Contents
Subpart A_Scope of Regulations
Sec.
275.1 Importation of tobacco products and cigarette papers and tubes.
Subpart B_Definitions
275.11 Meaning of terms.
Subpart C_General
275.21 Forms prescribed.
275.22 Retention of records.
275.23 Authority of ATF officers to enter premises.
275.24 Interference with administration.
275.25 Disposal of forfeited, condemned, and abandoned tobacco products
and cigarette papers and tubes.
275.26 Alternate methods or procedures.
275.27 Emergency variations from requirements.
275.28 Penalties and forfeitures.
275.29 Delegations of the Director.
Subpart D_Taxes
Tax Rates
275.30 Pipe tobacco and roll-your-own tobacco.
275.31 Cigar tax rates.
275.32 Cigarette tax rates.
275.33 Smokeless tobacco tax rates.
275.34 Cigarette papers.
275.35 Cigarette tubes.
Classification of Large Cigars and Cigarettes
275.37 [Reserved]
275.38 Cigarettes.
275.39 Determination of sale price of large cigars.
Liability for and Payment of Taxes
275.40 Persons liable for tax.
275.41 Determination and payment of tax.
Exemptions from Taxes and Permits
275.50 Exemptions.
Assessment of Taxes
275.60 Assessment.
Customs' Collection of Taxes
275.62 Customs' collection of internal revenue taxes on tobacco products
and cigarette papers and tubes, imported or brought into the
United States.
275.63 Payment of tax by electronic fund transfer.
Subpart E_Packages
275.71 Package.
275.72 Notice for smokeless tobacco.
275.72a Notice for pipe tobacco.
275.72b Notice for roll-your-own tobacco.
275.72c Package use-up rule.
275.73 Notice for cigars.
275.74 Notice for cigarettes.
275.75 Exemptions.
Subpart F_Tobacco Products and Cigarette Papers and Tubes, Imported Into
or Returned to the United States
275.81 Taxpayment.
Release From Customs Custody of Tobacco Products and Cigarette Papers
and Tubes Without Payment of Tax or Certain Duty
275.82 Restrictions on tobacco products labeled for export.
275.83 Penalties and forfeiture for products labeled or shipped for
export.
275.85 Release from customs custody of imported tobacco articles.
275.85a Release from customs custody of returned articles.
275.86 Procedure for release.
Subpart G_Puerto Rican Tobacco Products and Cigarette Papers and Tubes,
Brought Into the United States
275.101 General.
Prepayment of Tax in Puerto Rico on Tobacco Products and Cigarette
Papers and Tubes
275.105 Prepayment of tax.
275.106 Examination and record of shipment by taxpayer.
275.107-275.108 [Reserved]
Deferred Payment of Tax in Puerto Rico on Tobacco Products
275.109 Bond required for deferred taxpayment.
275.110 Record of tax computation and shipment by bonded manufacturer
under deferred taxpayment.
275.111 Agreement to pay tax.
[[Page 6]]
275.112 Tax return.
275.113 Return periods.
275.114 Time for filing.
275.114a Qualification for extended deferral.
275.115 Remittance with return.
275.115a Payment of tax by electronic fund transfer.
275.116 Default.
275.117-275.118 [Reserved]
275.119 Corporate surety.
275.120 Deposit of securities in lieu of corporate surety.
275.121 Amount and account of bond.
275.122 Strengthening bond.
275.123 Superseding bond.
275.124 Extension of coverage of bond.
275.125 Approval of bond and extension of coverage of bond.
275.126 Termination of bond.
275.127 Application of surety for relief from bond.
275.128 Relief of surety from bond.
275.129 Release of pledged securities.
275.135-275.138 [Reserved]
275.139 Records.
275.140 Taxpayment in the United States.
275.141 Reports.
Subpart H [Reserved]
275.151-275.153 [Reserved]
Subpart I_Claims
General
275.161 Abatement of assessment.
275.162 Losses caused by disaster occurring after September 2, 1958.
275.163 Refund of tax.
Tobacco Products, and Cigarette Papers and Tubes Lost or Destroyed
275.165 Action by taxpayer.
Tobacco Products and Cigarette Papers and Tubes Withdrawn From the
Market
275.170 Reduction of tobacco products to materials; ATF action.
275.171 Reduction of tobacco products to materials, action by regional
director (compliance).
275.172 Return to nontaxpaid status; action by taxpayer.
275.173 Return to nontaxpaid status; action by regional director
(compliance).
275.174 Disposition of tobacco products and cigarette papers and tubes,
and schedule.
Subpart J_Records and Reports
275.181 Records of large cigars.
275.182 Availability of records.
275.183 [Reserved]
Subpart K_Tobacco Products Importers
275.190 Persons required to qualify.
275.191 Application for permit.
275.192 Transitional rule.
275.193 Corporate documents.
275.194 Articles of partnership or association.
275.195 Trade name certificate.
275.196 Power of attorney.
275.197 Additional information.
275.198 Investigation of applicant.
275.199 Notice of contemplated disapproval.
275.200 Issuance of permit.
275.201 Duration of permit.
275.202 Renewal of permit.
275.203 Retention of permit and supporting documents.
Required Records and Reports
275.204 General.
275.205 Recordkeeping requirements.
Filing and Retention of Records and Reports
275.206 Reports.
275.207 Filing.
275.208 Retention.
Subpart L_Changes After Original Qualification of Importers
Changes in Name
275.220 Change in individual name.
275.221 Change in trade name.
275.222 Change in corporate name.
Changes in Ownership and Control
275.223 Fiduciary successor.
275.224 Transfer of ownership.
275.225 Change in officers, directors, or stockholders of a corporation.
275.226 Change in control of a corporation.
Changes in Location or Address
275.227 Change in location.
275.228 Change in address.
Authority: 18 U.S.C. 2342; 26 U.S.C. 5701, 5703, 5704, 5705, 5708,
5712, 5713, 5721, 5722, 5723, 5741, 5754, 5761, 5762, 5763, 6301, 6302,
6313, 6404, 7101, 7212, 7342, 7606, 7651, 7652, 7805; 31 U.S.C. 9301,
9303, 9304, 9306.
Editorial Note: Nomenclature changes to part 275 appear at T.D. ATF-
460, 66 FR 39093, July 27, 2001.
Subpart A_Scope of Regulations
Sec. 275.1 Importation of tobacco products and cigarette papers and tubes.
This part contains regulations relating to tobacco products and
cigarette papers and tubes imported into the United States from a
foreign country or brought into the United States from
[[Page 7]]
Puerto Rico, the Virgin Islands, or a possession of the United States;
the removal of tobacco products from a customs bonded manufacturing
warehouse, class 6; restrictions on the importation of previously
exported tobacco products and cigarette papers and tubes; and the
release of tobacco products and cigarette papers and tubes from customs
custody, without payment of internal revenue tax or customs duty
attributable to the internal revenue tax.
[T.D. ATF-421, 64 FR 71924, Dec. 22, 1999]
Subpart B_Definitions
Sec. 275.11 Meaning of terms.
When used in this part and in forms prescribed under this part, the
following terms shall have the meanings given in this section, unless
the context clearly indicates otherwise. Words in the plural form shall
include the singular, and vice versa, and words indicating the masculine
gender shall include the feminine. The terms ``includes'' and
``including'' do not exclude things not listed which are in the same
general class.
Appropriate ATF officer. An officer or employee of the Bureau of
Alcohol, Tobacco and Firearms (ATF) authorized to perform any functions
relating to the administration or enforcement of this part by ATF Order
1130.16A, Delegation Order--Delegation of the Director's Authorities in
27 CFR Part 275, Importation of Tobacco Products and Cigarette Papers
and Tubes and ATF Order 1130.15, Delegation Order--Delegation of Certain
of the Director's Authorities in 27 CFR Parts 270, 275 and 296.
Associate Director (Compliance Operations). The Associate Director
(Compliance Operations) in the Bureau of Alcohol, Tobacco and Firearms,
who is responsible to, and functions under the direction and supervision
of, the Director.
ATF. The Bureau of Alcohol, Tobacco and Firearms.
ATF officer. An officer of the Bureau of Alcohol, Tobacco and
Firearms (ATF) authorized to perform any function relating to the
administration or enforcement of this part.
Bank. Any commercial bank.
Banking day. Any day during which a bank is open to the public for
carrying on substantially all its banking functions.
Business day. Any day, other than a Saturday, Sunday, or a legal
holiday. (The term legal holiday includes all holidays in the District
of Columbia and, in the case of bonded manufacturers in Puerto Rico, all
legal holidays in the Commonwealth of Puerto Rico.)
Bonded manufacturer. A manufacturer of tobacco products in Puerto
Rico who has an approved bond, in accordance with the provisions of this
part, authorizing him to defer the payment in Puerto Rico on the
internal revenue tax imposed on such products by 26 U.S.C. 7652(a) as
provided in this part.
CFR. The Code of Federal Regulations.
Chewing Tobacco. Any leaf tobacco that is not intended to be smoked.
Chief, Puerto Rico Operations. The primary representative in Puerto
Rico of the Bureau of Alcohol, Tobacco and Firearms.
Cigar. Any roll of tobacco wrapped in leaf tobacco or in any
substance containing tobacco (other than any roll of tobacco which is a
cigarette within the meaning of paragraph (2) of the definition for
cigarette).
Cigarette. (1) Any roll of tobacco wrapped in paper or in any
substance not containing tobacco, and
(2) Any roll of tobacco wrapped in any substance containing tobacco
which, because of its appearance, the type of tobacco used in the
filler, or its packaging and labeling, is likely to be offered to, or
purchased by, consumers as a cigarette described in paragraph (1) of
this definition.
Cigarette paper. Paper, or any other material except tobacco,
prepared for use as a cigarette wrapper.
Cigarette tube. Cigarette paper made into a hollow cylinder for use
in making cigarettes.
Commercial bank. A bank, whether or not a member of the Federal
Reserve System, which has access to the Federal Reserve Communications
System (FRCS) or Fedwire. The ``FRCS'' or ``Fedwire'' is a
communications network that allows Federal Reserve System member banks
to effect a transfer
[[Page 8]]
of funds for their customers (or other commercial banks) to the Treasury
Account at the Federal Reserve Bank in New York.
Computation or computed. When used with respect to the tax on
tobacco products of Puerto Rican manufacture, computation or computed
shall mean that the bonded manufacturer has ascertained the quantity and
kind (small cigars, large cigars, small cigarettes, large cigarettes,
chewing tobacco, snuff, pipe tobacco, or roll-your-own tobacco) of
tobacco products and the sale price of large cigars being shipped to the
United States; that adequate bond has been posted to cover the payment,
in Puerto Rico, of the tax on such products to be deferred under subpart
G of this part; that the tax imposed on such products by 26 U.S.C.
7652(a) has been calculated; that the bonded manufacturer has executed
an agreement to pay the internal revenue tax which will become due with
respect to such products, as provided in this part; and that an ATF
officer has verified and executed a certification of such calculation.
Customs officer. Any officer of the Customs Service or any
commissioned, warrant, or petty officer of the Coast Guard, or any agent
or other person authorized by law or designated by the Secretary of the
Treasury to perform any duties of an officer of the Customs Service.
Determine. To establish enough information about taxable products at
the time of removal to calculate the tax, specifically the quantity
(pounds or number) and kind (for example, cigarettes, snuff, paper
tubes). Where the tax rate depends on additional information (such as
number of cigarette papers to a set before 1/1/2000 or sale price of
large cigars), that information must also be established as part of tax
determination.
Director. The Director, Bureau of Alcohol, Tobacco and Firearms, the
Department of the Treasury, Washington, DC.
District director. A district director of internal revenue.
Electronic fund transfer or EFT. Any transfer of funds effected by a
bonded manufacturer's commercial bank, either directly or through a
correspondent banking relationship, via the Federal Reserve
Communications System (FRCS) or Fedwire to the Treasury Account at the
Federal Reserve Bank of New York.
Export warehouse. A bonded internal revenue warehouse for the
storage of tobacco products and cigarette papers and tubes, upon which
the internal revenue tax has not been paid, for subsequent shipment to a
foreign country, Puerto Rico, the Virgin Islands, or a possession of the
United States, or for consumption beyond the jurisdiction of the
internal revenue laws of the United States.
Export warehouse proprietor. Any person who operates an export
warehouse.
Factory. The premises of a manufacturer of tobacco products or
cigarette papers or tubes in which he carries on such business.
Fiscal year. The period which begins October 1 and ends on the
following September 30.
HTS. The Harmonized Tariff Schedule of the United States, as
published by the United States International Trade Commission.
Importer. Any person in the United States to whom non-taxpaid
tobacco products or cigarette papers or tubes manufactured in a foreign
country, Puerto Rico, the Virgin Islands, or a possession of the United
States are shipped or consigned; any person who removes cigars for sale
or consumption in the United States from a Customs bonded manufacturing
warehouse; and any person who smuggles or otherwise unlawfully brings
tobacco products or cigarette papers or tubes into the United States.
Large cigarettes. Cigarettes weighing more than three pounds per
thousand.
Large cigars. Cigars weighing more than three pounds per thousand.
Manufacturer of cigarette papers and tubes. Any person who
manufactures cigarette paper, or makes up cigarette paper into tubes,
except for his own personal use or consumption.
Manufacturer of tobacco products. Any person who manufactures
cigars, cigarettes, smokeless tobacco, pipe tobacco, or roll-your-own
tobacco but does not include:
[[Page 9]]
(1) A person who produces tobacco products solely for that person's
own consumption or use; or
(2) A proprietor of a Customs bonded manufacturing warehouse with
respect to the operation of such warehouse.
Package. The container in which tobacco products or cigarette papers
or tubes are put up by the manufacturer or the importer for delivery to
the consumer.
Person. An individual, partnership, association, company,
corporation, estate, or trust.
Pipe tobacco. Any tobacco which because of its appearance, type,
packaging, or labeling, is suitable for use and likely to be offered to,
or purchased by, consumers as tobacco to be smoked in a pipe.
Port Director of Customs. The director of any port or port of entry
as defined in 19 CFR 101.1. A list of ports is set forth in 19 CFR
101.3.
Records. Statements, declarations, books, papers, correspondence,
accounts, technical data, automated record storage devices (e.g.,
magnetic discs and tapes), computer programs necessary to retrieve
information in a usable form, and other documents that:
(1) Pertain to any importation of tobacco products or cigarette
papers or tubes, or to the information contained in the documents
required by law or regulation under the Tariff Act of 1930, as amended,
in connection with the importation or shipment into the United states
from Puerto Rico of merchandise; and
(2) Are of the type normally kept in the ordinary course of
business; and
(3) Are sufficiently detailed to:
(i) Establish the right to make the importation or shipment into the
United States from Puerto Rico;
(ii) Establish the correctness of any importation or shipment into
the United States from Puerto Rico;
(iii) Determine the liability of any person for duties and taxes
due, or which may be due, to the United States;
(iv) Determine the liability of any person for fines, penalties, and
forfeitures; and
(v) Determine whether the person has complied with the laws and
regulations administered by ATF and the Customs Service, and any other
documents required under laws or regulations administered by ATF and the
Customs Service.
Region. A Bureau of Alcohol, Tobacco and Firearms Region.
Regional Director (compliance). The principal regional official
responsible for administering regulations in this part.
Relanding. Any tobacco products, cigarette papers or tubes, which
have been labeled or shipped for exportation (including to Puerto Rico)
as prescribed in this chapter, previously exported and returned within
the jurisdiction of the United States.
Removal or Remove. The removal of tobacco products or cigarette
papers or tubes from the factory or release from internal revenue bond
under 26 U.S.C. 5704, or release from customs custody, including
conditional release in accordance with 19 CFR 141.0a(i), and shall also
include the smuggling or other unlawful importation of such articles
into the United States.
Roll-your-own tobacco. Any tobacco which, because of its appearance,
type, packaging, or labeling, is suitable for use and likely to be
offered to, or purchased by, consumers as tobacco for making cigarettes.
Sale price. The price for which large cigars are sold by the
importer or manufacturer, determined in accordance with Sec. 275.39 and
used for computation of the excise tax.
Small cigarettes. Cigarettes weighing not more than three pounds per
thousand.
Small cigars. Cigars weighing not more than three pounds per
thousand.
Smokeless tobacco. Any chewing tobacco or snuff.
Snuff. Any finely cut, ground, or powdered tobacco that is not
intended to be smoked.
This chapter. Chapter I, title 27, Code of Federal Regulations.
Tobacco products. Cigars, cigarettes, smokeless tobacco, pipe
tobacco, and roll-your-own tobacco.
Treasury Account. The Department of the Treasury's General Account
at the Federal Reserve Bank of New York.
United States. When used in a geographical sense shall include only
the States and the District of Columbia.
[[Page 10]]
U.S.C. The United States Code.
(Aug. 16, 1954, ch. 736, 68A Stat. 775, as amended (26 U.S.C. 6301);
June 29, 1956, ch. 462, 70 Stat. 391 (26 U.S.C. 6301))
[T.D. ATF-48, 43 FR 13554, Mar. 31, 1978; 44 FR 55855, Sept. 28, 1979,
as amended by T.D. ATF-77, 46 FR 3009, Jan. 13, 1981; T.D. ATF-232, 51
FR 28084, Aug. 5, 1986; T.D. ATF-243, 51 FR 43194, Dec. 1, 1986; T.D.
ATF-251, 52 FR 19340, May 22, 1987; T.D. ATF-284, 54 FR 12190, Mar 24,
1989; T.D. ATF-289, 54 FR 48840, Nov. 27, 1989; T.D. ATF-421, 64 FR
71924, Dec. 22, 1999; T.D. ATF-424, 64 FR 71932, Dec. 22, 1999; T.D.
ATF-420, 64 FR 71942, Dec. 22, 1999; T.D. ATF-422, 64 FR 71948, Dec. 22,
1999; T.D. ATF-422c, 65 FR 63545, Oct. 24, 2000; T.D. ATF-444, 66 FR
13850, Mar. 8, 2001; T.D. ATF-465, 66 FR 45618, Aug. 29, 2001; T.D. ATF-
467, 66 FR 49532, Sept. 28, 2001]
Subpart C_General
Sec. 275.21 Forms prescribed.
(a) The Director is authorized to prescribe all forms required by
this part. All of the information called for in each form shall be
furnished as indicated by the headings on the form and the instructions
on or pertaining to the form. In addition, information called for in
each form shall be furnished as required by this part. When a return,
form, claim, or other document called for under this part is required by
this part, or by the document itself, to be executed under penalties of
perjury, it shall be executed under penalties of perjury.
(b) Requests for forms should be mailed to the AFT Distribution
Center, 7943 Angus Court, Springfield, Virginia 22153.
(5 US.C. 552(a) (80 Stat. 383, as amended)
[T.D. ATF-92, 46 FR 46922, Sept. 23, 1981, as amended by T.D. ATF-232,
51 FR 28084, Aug. 5, 1986; T.D. ATF-243, 51 FR 43194, Dec. 1, 1986; T.D.
ATF-372, 61 FR 20725, May 8, 1996]
Sec. 275.22 Retention of records.
All records required to be kept under this part, including copies of
claims and schedules, authorizations, notices of release, reports, and
returns, shall be retained for three years following the close of the
year in which filed or made, or in the case of an authorization, for
three years following the close of the calendar year in which the
operation under such authorization is concluded. Such records shall be
made available for inspection by any ATF officer upon his request.
(72 Stat. 1423; 26 U.S.C. 5741)
[26 FR 8189, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975]
Sec. 275.23 Authority of ATF officers to enter premises.
Any ATF officer may enter in the daytime any premises where tobacco
products or cigarette papers or tubes are produced or kept so far as it
may be necessary for the purpose of examining such articles. When such
premises are open at night, any ATF officer may enter them, while so
open, in the performance of his official duties. The owner of such
premises, or person having the superintendence of the same, who refuses
to admit any ATF officer or permit him to examine such articles shall be
liable to the penalties prescribed by law for the offense.
(68A Stat. 872, 903; 26 U.S.C. 7342, 7606)
[T.D. 6871, 31 FR 40, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28084, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986]
Sec. 275.24 Interference with administration.
Whoever, corruptly or by force or threats of force, endeavors to
hinder or obstruct the administration of this part, or endeavors to
intimidate or impede any ATF officer acting in his official capacity, or
forcibly rescues or attempts to rescue or causes to be rescued any
property, after it has been duly seized for forfeiture to the United
States in connection with a violation of the internal revenue laws,
shall be liable to the penalties prescribed by law.
(68A Stat. 855; 26 U.S.C. 7212)
[26 FR 8189, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975]
Sec. 275.25 Disposal of forfeited, condemned, and abandoned tobacco
products and cigarette papers and tubes.
When any Federal, State, or local officer having custody of
forfeited, condemned, or abandoned tobacco products or cigarette papers
or tubes, upon
[[Page 11]]
which the Federal tax has not been paid, is of the opinion that the sale
thereof will not bring a price equal to the tax due and payable thereon,
and the expenses incident to the sale thereof, he shall not sell, nor
cause to be sold, such articles for consumption in the United States.
Where the articles are not sold, the officer may deliver them to a
Federal or State hospital or institution (if they are fit for
consumption) or cause their destruction by burning completely or by
rendering them unfit for consumption. Where such articles are sold, they
shall not be released by the officer having custody thereof until they
are properly packaged and taxpaid, which tax shall be considered as a
portion of the sales price. Except where the tax is to be paid to the
Port Directors of Customs or other authorized customs officer in
accordance with Customs regulations (19 CFR part 127) on sales of
articles by customs officers, the payment of tax on such articles must
be evidenced by presentation, to the officer having custody of the
articles, of a receipt from the appropriate ATF officer showing such
payment. In the case of such articles held by or for the Federal
Government, the sale thereof shall be subject to the applicable
provisions of the Regulations of the General Services Administration,
Title 1, Personal Property Management.
(68A Stat. 872, 903; 26 U.S.C. 7342, 7606)
[T.D. 6871, 31 FR 40, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28084, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986; T.D. ATF-422, 64 FR 71948, Dec. 22,
1999]
Sec. 275.26 Alternate methods or procedures.
An importer, on specific approval by the Director as provided in
this section, may use an alternate method or procedure in lieu of a
method or procedure specifically prescribed in this part. The Director
may approve an alternate method or procedure, subject to stated
conditions, when he finds that--
(a) Good cause has been shown for the use of the alternate method or
procedure,
(b) The alternate method or procedure is within the purpose of, and
consistent with the effect intended by, the specifically prescribed
method or procedure, and affords equivalent security to the revenue, and
(c) The alternate method of procedure will not be contrary to any
provision of law, and will not result in an increase in cost to the
Government or hinder the effective administration of this part.
No alternate method or procedure relating to the giving of any bond or
to the assessment, payment, or collection of tax, shall be authorized
under this section. When an importer desires to employ an alternate
method or procedure, he shall submit a written application to do so, in
triplicate, to the regional director (compliance) for transmittal to the
Director. The application shall specifically describe the proposed
alternate method or procedure, and shall set forth the reasons therefor.
Alternate methods or procedures shall not be employed until the
application has been approved by the Director. The importer shall,
during the period of authorization of an alternate method or procedure,
comply with the terms of the approved application. Authorization for any
alternate method or procedure may be withdrawn whenever in the judgment
of the Director the revenue is jeopardized or the effective
administration of this part is hindered. The importer shall retain, as
part of his records, any authorization of the Director under this
section.
[26 FR 8190, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975]
Sec. 275.27 Emergency variations from requirements.
The Director may approve methods of operation other than as
specified in this part, where he finds that an emergency exists and the
proposed variations from the specified requirements are necessary, and
the proposed variations--
(a) Will afford the security and protection to the revenue intended
by the prescribed specifications,
(b) Will not hinder the effective administration of this part, and
(c) Will not be contrary to any provision of law.
Variations from requirements granted under this section are conditioned
on
[[Page 12]]
compliance with the procedures, conditions, and limitations set forth in
the approval of the application. Failure to comply in good faith and
with such procedures, conditions, and limitations shall automatically
terminate the authority for such variations and the importer thereupon
shall fully comply with the prescribed requirements of regulations from
which the variations were authorized. Authority for any variations may
be withdrawn whenever in the judgment of the Director the revenue is
jeopardized or the effective administration of this part is hindered by
the continuation of such variation. Where an importer desires to employ
such variation, he shall submit a written application to do so, in
triplicate, to the regional director (compliance) for transmittal to the
Director. The application shall describe the proposed variations and set
forth the reasons therefor. Variations shall not be employed until the
application has been approved. The importer shall retain, as part of his
records, any authorization of the Director under this section.
[26 FR 8190, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975]
Sec. 275.28 Penalties and forfeitures.
Anyone who fails to comply with the provisions of this part becomes
liable to the civil and criminal penalties, and forfeitures, provided by
law.
(72 Stat. 1425, 1426; 26 U.S.C. 5761, 5762, 5763)
[26 FR 8190, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975]
Sec. 275.29 Delegations of the Director.
The Director has general authority to take action on all matters
under the regulations in this part 275. Some of the authorities in this
part are redelegated to ``appropriate ATF officers''. The title of the
appropriate ATF officer for each delegation is listed by section in ATF
Order 1130.16A, Delegation Order--Delegation of Certain of the
Director's Authorities in 27 CFR parts 270, 275, and 296. ATF delegation
orders, such as ATF Order 1130.16A, are available from the ATF
Distribution Center, PO Box 5950, Springfield, Virginia 22150-5190, or
from the ATF web site (http://www.atf.treas.gov).
[T.D. ATF-420, 64 FR 71942, Dec. 22, 1999, as amended by T.D. ATF-444,
66 FR 13850, Mar. 8, 2001]
Subpart D_Taxes
Tax Rates
Sec. 275.30 Pipe tobacco and roll-your-own tobacco.
Pipe tobacco and roll-your-own tobacco are taxed at the following
rates under 26 U.S.C. 5701(f) and (g), respectively:
----------------------------------------------------------------------------------------------------------------
Tax rate per pound \1\ for removals during the years
Product -------------------------------------------------------------------------
1993 to 1999 2000 and 2001 2002 and after
----------------------------------------------------------------------------------------------------------------
Pipe tobacco.......................... $0.675 $0.9567 $1.0969
Roll-your-own tobacco................. No tax 0.9567 1.0969
----------------------------------------------------------------------------------------------------------------
\1\ Prorate tax for fractions of a pound.
[T.D. ATF-420, 64 FR 71942, Dec. 22, 1999]
Sec. 275.31 Cigar tax rates.
(a) Cigars are taxed at the following rates under 26 U.S.C. 5701(a):
----------------------------------------------------------------------------------------------------------------
Tax rate for removals during the years
Product -------------------------------------------------------------------------
1993 to 1999 2000 and 2001 2002 and after
----------------------------------------------------------------------------------------------------------------
Small cigars (per thousand)........... $1.125 $1.594 $1.828
Large cigars \1\
percentage of sale price.......... 12.75% 18.063% 20.719%
[[Page 13]]
but not to exceed per thousand.... $30 $42.50 $48.75
----------------------------------------------------------------------------------------------------------------
\1\ For large cigars, the percentage tax rate applies when the sale price is $235.294 per thousand or less, and
the flat tax rate applies when the sale price is more than $235.294.
(b) See Sec. 275.39 of this part for rules concerning determination
of sale price of large cigars.
(c) Cigars not exempt from tax under 26 U.S.C. chapter 52 and the
provisions of this part which are removed but not intended for sale
shall be taxed at the same rate as similar cigars removed for sale.
[T.D. ATF-420, 64 FR 71942, Dec. 22, 1999]
Sec. 275.32 Cigarette tax rates.
Cigarettes are taxed at the following rates under 26 U.S.C. 5701(b):
----------------------------------------------------------------------------------------------------------------
Tax rate per thousand for removals during the years
Product -------------------------------------------------------------------------
1993 to 1999 2000 and 2001 2002 and after
----------------------------------------------------------------------------------------------------------------
Small cigarettes...................... $12 $17 $19.50
Large cigarettes up to 6\1/2\ long.
Large cigarettes over 6\1/2\ long. fraction thereof of the length of each as one cigarette.
----------------------------------------------------------------------------------------------------------------
[T.D. ATF-420, 64 FR 71943, Dec. 22, 1999]
Sec. 275.33 Smokeless tobacco tax rates.
Smokeless tobacco products are taxed at the following rates under 26
U.S.C. 5701(e):
------------------------------------------------------------------------
Tax rate per pound \1\ for removals
during the years
Product --------------------------------------
1993 to 2000 or 2002 and
1999 2001 after
------------------------------------------------------------------------
Snuff............................ $0.36 $0.51 $0.585
Chewing tobacco.................. $0.12 $0.17 $0.195
------------------------------------------------------------------------
\1\ Prorate tax for fractions of a pound.
[T.D. ATF-420, 64 FR 71943, Dec. 22, 1999]
Sec. 275.34 Cigarette papers.
Cigarette papers are taxed at the following rates under 26 U.S.C.
5701(c):
------------------------------------------------------------------------
Tax rate for each 50 papers \1\ for
removals during the years
Product --------------------------------------
1993 to 2000 or 2002 and
1999 \2\ 2001 after
------------------------------------------------------------------------
Cigarette papers up to 6\1/2\ long....................
Cigarette papers over 6\1/2\ long.................... Use rates above, but count each 2\3/
4\ inches, or fraction thereof, of
the length of each as one cigarette
paper.
------------------------------------------------------------------------
\1\ Tax rate for less than 50 papers is the same. The tax is not
prorated.
\2\ Before January 1, 2000, books or sets containing 25 papers or less
were not taxable. On and after January 1, 2000, all cigarette papers
are taxable.
[T.D. ATF-420, 64 FR 71943, Dec. 22, 1999]
[[Page 14]]
Sec. 275.35 Cigarette tubes.
Cigarette tubes are taxed at the following rates under 26 U.S.C.
5701(d):
------------------------------------------------------------------------
Tax rate for each 50 tubes \1\ for
removals during the years
Product --------------------------------------
1993 to 2000 and 2002 and
1999 2001 after
------------------------------------------------------------------------
Cigarette tubes up to 6\1/2\ long....................
Cigarette tubes over 6\1/2\ long.................... Use rates above, but count each 2\3/
4\ inches, or fraction thereof, of
the length of each as one cigarette
tube.
------------------------------------------------------------------------
\1\ Tax rate for less than 50 tubes is the same. The tax is not
prorated.
[T.D. ATF-420, 64 FR 71943, Dec. 22, 1999]
Classification of Large Cigars and Cigarettes
Sec. 275.37 [Reserved]
Sec. 275.38 Cigarettes.
For internal revenue tax purposes, small cigarettes are designated
Class A and large cigarettes are designated Class B.
(72 Stat. 1414; 26 U.S.C. 5701)
[26 FR 8191, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975]
Sec. 275.39 Determination of sale price of large cigars.
The tax imposed on large cigars is computed based on the sale price
(the price for which the large cigars are sold by the importer or
manufacturer). In addition to money, goods or services exchanged for
cigars may be considered as part of the sale price. See Sec. 40.22(b)
of this chapter for information on determining the sale price in special
cases.
[T.D. ATF-420, 64 FR 71944, Dec. 22, 1999; T.D. ATF-422, 64 FR 71948,
Dec. 22, 1999; T.D. ATF-422a, 65 FR 15058, Mar. 31, 2000; T.D. ATF-460,
66 FR 39093, July 27, 2001]
Liability for and Payment of Taxes
Sec. 275.40 Persons liable for tax.
The importer of tobacco products or cigarette papers and tubes will
be liable for the internal revenue taxes imposed thereon by 26 U.S.C.
5701 or 7652: Provided, That tobacco products or cigarette papers or
tubes (other than those previously exported and returned) imported or
brought into the United States, may be released from customs custody
without payment of tax, for delivery to the proprietor of an export
warehouse, to a manufacturer of tobacco products, or to a manufacturer
of cigarette papers or tubes (except for tobacco products), if such
articles are not put up in packages (see Sec. 275.11). Under these
circumstances the transferee will become liable for the internal revenue
tax on such articles upon release from customs custody and the importer
will thereupon be relieved of the liability for such tax. If the
transferee is also the importer, then the importer will not be relieved
of the liability for such tax.
(Aug. 16, 1954, Chapter 736, 68A Stat. 907, as amended (26 U.S.C. 7652);
sec. 201, Pub. L. 85-859, Stat. 1417, as amended (26 U.S.C. 5703))
[T.D. ATF-422, 64 FR 71948, Dec. 22, 1999]
Sec. 275.41 Determination and payment of tax.
Tobacco products and cigarette papers and tubes, imported or brought
into the United States, on which internal revenue taxes are due and
payable, must not be released from customs custody until such taxes have
been determined and paid.
(68A Stat. 907, as amended, 72 Stat. 1417; 26 U.S.C. 7652, 5703)
[T.D. ATF-422, 64 FR 71949, Dec. 22, 1999]
Exemptions From Taxes and Permits
Sec. 275.50 Exemptions.
The Harmonized Tariff Schedule of the United States (19 U.S.C. 1202)
and Customs Regulations, 19 CFR, chapter I, provide for certain
exemptions from
[[Page 15]]
internal revenue taxes with respect to tobacco products and cigarette
papers and tubes imported into the United States. These exemptions
include, but are not limited to, certain importations in passengers'
baggage, for use of crew members, and by foreign officials. Those
persons importing tobacco products and cigarette papers or tubes as
described in this section are not required to obtain a permit.
[T.D. 6871, 31 FR 41, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28084, Aug. 5, 1986; T.D.
ATF-243, 52 FR 43194, Dec. 1, 1986; T.D. ATF-284, 54 FR 12190, Mar. 24,
1989; T.D. ATF-422, 64 FR 71949, Dec. 22, 1999]
Assessment of Taxes
Sec. 275.60 Assessment.
Whenever any person required by law to pay internal revenue tax on
tobacco products or cigarette papers or tubes fails to pay such tax, the
tax shall be ascertained and assessed against such person, subject to
the limitations prescribed in 26 U.S.C. 6501. The tax so assessed shall
be in addition to the penalties imposed by law for failure to pay such
tax when required. Except in cases where delay may jeopardize collection
of the tax, or where the amount is nominal or the result of an evident
mathematical error, no such assessment shall be made until and after
notice has been afforded such person to show cause against assessment.
The person will be allowed 45 days from the date of such notice to show
cause, in writing, against such assessment.
(72 Stat. 1417; 26 U.S.C. 5703)
[T.D. 6871, 31 FR 41, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-48, 44 FR 55855, Sept. 28, 1979; T.D.
ATF-232, 51 FR 28084, Aug. 5, 1986; T.D. ATF-243, 51 FR 43194, Dec. 1,
1986]
Customs' Collection of Taxes
Sec. 275.62 Customs' collection of internal revenue taxes on tobacco
products and cigarette papers and tubes, imported or brought into
the United States.
Internal revenue taxes on tobacco products and cigarette papers and
tubes, imported or brought into the United States, which are to be paid
to the Port Director of Customs or other authorized customs employee, in
accordance with this part, must be collected, accounted for, and
deposited as internal revenue collections by the Port Director of
Customs, in accordance with customs procedures and regulations.
[T.D. ATF-422, 64 FR 71949, Dec. 22, 1999]
Sec. 275.63 Payment of tax by electronic fund transfer.
(a) Each importer who was liable, during a calendar year, for a
gross amount equal to or exceeding five million dollars in taxes on
cigars, cigarettes, cigarette papers, and cigarette tubes combining tax
liabilities incurred under this part and part 40 of this chapter, shall
use a commercial bank in making payment by electronic fund transfer
(EFT) of such taxes during the succeeding calendar year. Payment of such
taxes by cash, check, or money order is not authorized for an importer
who is required, by this section, to make remittances by EFT. For
purposes of this section, the dollar amount of tax liability is defined
as the gross tax liability on all taxable withdrawals and importations
(including similar products brought into the United States from Puerto
Rico or the Virgin Islands) during the calendar year, without regard to
any drawbacks, credits, or refunds, for all premises from which such
activities are conducted by the taxpayer.
(b) For the purposes of this section, a taxpayer includes a
controlled group of corporations, as defined in 26 U.S.C. 1563, and
implementing regulations in 26 CFR 1.1563-1 through 1.1563-4, except
that the words ``at least 80 percent'' shall be replaced by the words
``more than 50 percent'' in each place it appears in subsection (a) of
26 U.S.C. 1563, as well as in the implementing regulations. Also, the
rules for a ``controlled group of corporations'' apply in a similar
fashion to groups which include partnerships and/or sole
proprietorships. If one entity maintains more than 50% control over a
group consisting of corporations and one, or more, partnerships and/or
sole proprietorships, all of the members of the controlled group are one
taxpayer for the purpose of determining who is required to make
remittances by EFT.
[[Page 16]]
(c) For the purposes of this section, (1) electronic fund transfer
or EFT means any transfer of funds, other than a transaction originated
by check, draft, or similar paper instrument, which is initiated through
an electronic terminal, telephonic instrument, or computer of magnetic
tape, so as to order, instruct, or authorize a financial institution to
either debit or credit an account, in accordance with procedures
established by the U.S. Customs Service, and (2) electronic fund
transfer or EFT does not have the meaning defined in Sec. 275.11 for
use elswhere in this part.
(d) An importer who is required by this section to make remittances
by EFT, shall make the EFT remittance in accordance with the
requirements of the U.S. Customs Service.
(Act of August 16, 1954, 68A Stat. 775, as amended (26 U.S.C. 6302);
Sec. 202, Pub. L. 85-859, 72 Stat. 1417, as amended (26 U.S.C. 5703))
[T.D. ATF-245, 52 FR 534, Jan. 7, 1987, as amended by T.D. ATF-384, 61
FR 54095, Oct. 17, 1996]
Subpart E_Packages
Sec. 275.71 Package.
All tobacco products, cigarette papers and tubes, except as provided
in Sec. 275.75, shall, before removal subject to internal revenue tax,
be put up in packages which shall be of such construction as will
securely contain the articles therein and maintain the notice thereon as
required by this subpart. No package of tobacco products or cigarette
papers or tubes shall have contained in, attached to, or stamped,
marked, written, or printed thereon (a) any certificate, coupon, or
other device purporting to be or to represent a ticket, chance, share,
or an interest in, or dependent on, the event of a lottery, (b) any
indecent or immoral picture, print, or representation, or (c) any
statement or indication that United States tax has been paid.
(72 Stat. 1422; 26 U.S.C. 5723)
[T.D. 6871, 31 FR 41, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28084, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986]
Sec. 275.72 Notice for smokeless tobacco.
(a) Product designation. Every package of chewing tobacco or snuff
shall, before removal subject to internal revenue tax, have adequately
imprinted thereon, or on a label securely affixed thereto, the
designation ``chewing tobacco'' or ``snuff.'' As an alternative,
packages of chewing tobacco may be designated ``Tax Class C,'' and
packages of snuff may be designated ``Tax Class M.''
(b) Product weight. Every package of chewing tobacco or snuff shall,
before removal subject to internal revenue tax, have adequately
imprinted thereon, or on a label securely affixed thereto, a clear
statement of the actual pounds and ounces of the product contained
therein. As an alternative, the shipping cases containing packages of
chewing tobacco or snuff may, before removal, have adequately imprinted
thereon, or on a label securely affixed thereto, a clear statement, in
pounds and ounces, of the total weight of the product, the tax class of
the product, and the total number of the packages of product contained
therein.
(Approved by the Office of Management and Budget under control number
1512-0502)
(Sec. 202, Pub. L. 85-859, 72 Stat. 1422 (26 U.S.C. 5723))
[T.D. ATF-243, 51 FR 43194, Dec. 1, 1986, as amended by T.D. ATF-446, 66
FR 16602, Mar. 27, 2001]
Sec. 275.72a Notice for pipe tobacco.
(a) Product designation. Every package of pipe tobacco shall, before
removal subject to internal revenue tax, have adequately imprinted
thereon, or on a label securely fixed thereto, the designation ``pipe
tobacco.'' As an alternative, packages of pipe tobacco may be designated
``Tax Class L.''
(b) Product weight. Every package of pipe tobacco shall, before
removal subject to internal revenue tax, have adequately imprinted
thereon, or on a label securely affixed thereto, a clear statement of
the actual pounds and ounces of the product contained therein.
[T.D. ATF-289, 54 FR 48841, Nov. 27, 1989. Redesignated by T.D. ATF-381,
61 FR 37004, July 16, 1996]
[[Page 17]]
Sec. 275.72b Notice for roll-your-own tobacco.
(a) Product designation. Before removal subject to tax, roll-your-
own tobacco must have adequately imprinted on, or on a label securely
affixed to, the package, the designation ``roll-your-own tobacco'' or
``cigarette tobacco'' or ``Tax Class J.''
(b) Product weight. Before removal subject to tax, roll-your-own
tobacco must have a clear statement of the actual weight in pounds and
ounces of the product in the package. This statement must be adequately
imprinted on, or on a label securely affixed to, the package.
(Approved by the Office of Management and Budget under control number
1512-0502)
[T.D. ATF-429, 65 FR 57547, Sept. 25, 2000]
Sec. 275.72c Package use-up rule.
(a) An importer must have used such packaging for roll-your-own
tobacco before January 1, 2000.
(b) An importer of roll-your-own tobacco may continue to place roll-
your-own tobacco in packages that do not meet the marking requirements
of Sec. 275.72b(b) until April 1, 2000.
(c) An importer of roll-your-own tobacco may continue to place roll-
your-own tobacco in packages that do not meet the requirements of Sec.
275.72b(a) until October 1, 2000.
[T.D. ATF-427, 65 FR 40051, June 29, 2000]
Sec. 275.73 Notice for cigars.
Before removal subject to internal revenue tax, every package of
cigars, except as provided in Sec. 275.75, shall have adequately
imprinted on it, or on a label securely affixed to it--
(a) The designation ``cigars'';
(b) The quantity of cigars contained in the package; and
(c) For small cigars, the classification of the product for tax
purposes (i.e., either ``small'' or ``little'').
(Sec. 202, Pub. L. 85-859, 72 Stat. 1422 (26 U.S.C. 5723))
[T.D. ATF-80, 46 FR 18310, Mar. 24, 1981]
Sec. 275.74 Notice for cigarettes.
Every package of cigarettes, except as provided in Sec. 275.75,
shall, before removal subject to internal revenue tax, have adequately
imprinted thereon, or on a label securely affixed thereto, the
designation ``cigarettes'', the quantity of such product contained
therein; and the classification for tax purposes, i.e., for small
cigarettes either ``small'' or ``Class A'', and for large cigarettes,
either ``large'' or ``Class B''.
(72 Stat. 1422; 26 U.S.C. 5723)
[26 FR 8192, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975]
Sec. 275.75 Exemptions.
The provisions of this subpart requiring that tobacco products and
cigarette papers and tubes be put up in packages and that proper notice
be placed on such packages shall not apply to imported tobacco products
and cigarette papers and tubes authorized to be released from customs
custody, without payment of internal revenue tax, pursuant to Sec.
275.50, and shall not apply to tobacco products imported in passengers'
baggage, or by mail where the value does not exceed $250, where such
products are solely for the personal consumption of the importer or for
disposition as his bona fide gift.
(72 Stat. 1422; 26 U.S.C. 5723)
[T.D. 6871, 31 FR 41, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, as amended by T.D. ATF-232, 51 FR 28085, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986]
Subpart F_Tobacco Products and Cigarette Papers and Tubes, Imported Into
or Returned to the United States
Sec. 275.81 Taxpayment.
(a) General. The provisions of this section apply to tobacco
products, cigarette papers, and cigarette tubes upon which internal
revenue tax is payable, and which are imported into the United States
from a foreign country or are brought into the United States from Puerto
Rico, the Virgin Islands, or a possession of the United States. For
provisions relating to the importation of previously exported tobacco
products and cigarette papers and tubes, see section 275.82.
(b) Method of payment. Except in the case of articles imported or
brought into the United States under Sec. Sec. 275.85
[[Page 18]]
and 275.85a, the internal revenue tax must be determined and paid to the
Port Director of Customs before the tobacco products, cigarette papers,
or cigarette tubes are removed from customs custody. The tax must be
paid on the basis of a return on the customs form or by authorized
electronic transmission by which the tobacco products, cigarette papers,
or cigarette tubes are duty and tax paid to Customs.
(c) Required information. When tobacco products, cigarette papers,
or cigarette tubes enter the United States for consumption, or when they
are removed for consumption, the importer must include on the customs
form or authorized electronic transmission the following internal
revenue tax information.
(1) For cigarette papers: For cigarette papers imported on or after
January 1, 2000, the importer will show the total number of cigarette
papers, the rate of tax, and the amount of tax due. For cigarette papers
imported prior to January 1, 2000, the importer will show the number of
books or sets, the number of papers in each book or set, the rate of
tax, and the amount of tax due.
(2) For cigarette tubes: The importer will show the number of tubes,
the rate of tax, and the tax due.
(3) For cigarettes: The importer will show whether the cigarettes
are small (class A) or large (class B), the number of cigarettes, the
rate of tax, and the tax due.
(4) For cigars. The importer will show:
(i) The number imported under each HTS item number;
(ii) For large cigars with a sale price of not more than $235.294
per thousand, the number and total sale price of such cigars;
(iii) For large cigars with a sale price of more than $235.294 per
thousand, the number of cigars;
(iv) The applicable tax rate, as specified by Sec. 275.31; and
(v) The tax due.
(5) For smokeless tobacco: The importer will show whether the
product is chewing tobacco or snuff, the number of pounds and ounces,
the rate of tax and the tax due.
(6) For pipe tobacco: The importer will show the designation ``pipe
tobacco'' or ``Tax Class L,'' the number of pounds and ounces, the rate
of tax and the tax due.
(7) For roll-your-own tobacco: The importer will show the
designation ``roll-your-own'' or ``Tax Class J'', the number of pounds
and ounces, the rate of tax and the amount of tax due.
(d) Exceptions. The provisions of this section shall not apply to:
(1) Tobacco products, cigarette papers, or cigarette tubes released
from customs custody and transferred in bond to a U.S. manufacturer of
tobacco products or cigarette papers and tubes (see Sec. Sec. 275.85,
275.85a, or 275.135);
(2) Puerto Rican products on which the tax is prepaid or deferred
(see subpart G); and
(3) Tax payments of cigars from class 6, customs bonded
manufacturing warehouses (see Sec. 275.151).
(68A Stat. 907, as amended (26 U.S.C. 7652); sec. 202, Pub. L. 85-859,
72 Stat. 1417 (26 U.S.C. 5703))
[T.D. ATF-27, 41 FR 23951, June 14, 1976, as amended by T.D. ATF-40, 42
FR 5005, Jan. 26, 1977; T.D. ATF-232, 51 FR 28085, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986; T.D. ATF-246, 52 FR 669, Jan. 8,
1987; T.D. ATF-284, 54 FR 12190, Mar. 24, 1989; T.D. ATF-289, 54 FR
48841, Nov. 27, 1989; T.D. ATF-307, 55 FR 52744, Dec. 21, 1990: T.D.
ATF-421, 64 FR 71924, Dec. 22, 1999; T.D. ATF-424, 64 FR 71932, Dec. 22,
1999; T.D. ATF-420, 64 FR 71944, Dec. 22, 1999; T.D. ATF-422a, 65 FR
15059, Mar. 21, 2000]
Release From Customs Custody of Tobacco Products and Cigarette Papers
and Tubes Without Payment of Tax or Certain Duty
Sec. 275.82 Restrictions on tobacco products labeled for export.
(a) The provisions of this section apply to tobacco products and
cigarette papers and tubes manufactured in the United States and labeled
for exportation under parts 44 and 270 of this chapter.
(b) Articles described in paragraph (a) of this section may be
transferred to or removed from the premises of a manufacturer or an
export warehouse proprietor only if such articles are being transferred
or removed without tax as provided in this part.
(c) Articles described in paragraph (a) of this section may only be
imported or brought into the United
[[Page 19]]
States, after their exportation, under the provisions of 26 U.S.C.
5704(d), by release from Customs custody for delivery to the original
manufacturer of such tobacco products or cigarette papers or tubes or to
the proprietor of an export warehouse authorized by such manufacturer to
receive such articles. These products are transferred in bond and are
released from Customs custody without payment of that part of the duty
attributable to internal revenue tax.
(d) Articles described in paragraph (a) of this section that are not
put up in packages may be imported or brought into the United States
under 26 U.S.C. 5704(c) by release from Customs custody without payment
of tax for delivery to the original manufacturer of such articles.
However, because such articles are also eligible for release under 26
U.S.C. 5704(d), such articles will be treated as though released under
section 5704(d), due to the penalty provisions in section 5761(c).
(e) Articles described in paragraph (a) of this section may not be
sold or held for sale for domestic consumption in the United States
unless such articles are removed from their export packaging and
repackaged by the original manufacturer into new packaging that does not
contain an export label. The new packages, marks and notices must
conform to the requirements of 27 CFR part 270.
(f) The provisions of this section shall apply to articles labeled
for export even if the packaging or the appearance of such packaging to
the consumer of such articles has been modified or altered by a person
other than the original manufacturer so as to remove or conceal or
attempt to remove or conceal (including by placement of a sticker over)
any export label.
(g) For purposes of this section, an article is labeled for export
or contains an export label if it bears the mark, label, or notice
required by Sec. 44.185 of this chapter.
(h) For purposes of this section, references to exportation shall be
treated as including a reference to shipment to the Commonwealth of
Puerto Rico.
(i) The provisions of this section do not apply to any person who,
when entering U.S. manufactured tobacco products labeled for export
under parts 44 and 270 of this chapter, claims and is granted an
exemption from duty and tax for such products under chapter 98 of the
Harmonized Tariff Schedule of the United States. The quantity of tobacco
products entered may not exceed the quantity limit imposed on such
products under the applicable tariff provision. A traveler claiming an
exemption under this subsection upon arrival at the border may
voluntarily relinquish to the U. S. Customs Service at the time of entry
any excess of such quantity without incurring the penalty under section
Sec. 275.83.
(j) For civil penalties and forfeiture provisions related to
violations of this section, see Sec. 275.83. For a criminal penalty
applicable to any violation of this section see 26 U.S.C. 5762(b).
[T.D. ATF-465, 66 FR 45618, Aug. 29, 2001]
Sec. 275.83 Penalties and forfeiture for products labeled or shipped
for export.
Except for the return of exported products that are specifically
authorized under Sec. 275.82(b) and (c):
(a) Every person who sells, relands, or receives within the
jurisdiction of the United States any tobacco products or cigarette
papers or tubes which have been labeled or shipped for exportation under
parts 44 and 270 of this chapter;
(b) Every person who sells or receives such relanded tobacco
products or cigarette papers or tubes; and,
(c) Every person who aids or abets in such selling, relanding, or
receiving, shall, in addition to the tax and any other penalty provided
for in title 26 U.S.C., be liable for a penalty equal to the greater of
$1,000 or 5 times the amount of the tax imposed by title 26 U.S.C. All
tobacco products and cigarette papers and tubes relanded within the
jurisdiction of the United States shall be forfeited to the United
States and destroyed. All vessels, vehicles and aircraft used in such
relanding or in removing such products, papers, and tubes from the place
where relanded, shall be forfeited to the United States.
(d) The provisions of this section do not apply to any person who,
when entering U.S. manufactured tobacco products labeled for export,
claims and is granted an exemption from duty and
[[Page 20]]
tax for such products under chapter 98 of the Harmonized Tariff Schedule
of the United States. The quantity of tobacco products entered may not
exceed the quantity limit imposed on such products under the applicable
tariff provision. A traveler claiming an exemption under this subsection
upon arrival at the border may voluntarily relinquish to the U. S.
Customs Service at the time of entry any excess of such quantity without
incurring the penalty under this section.
(e) For purposes of this section, references to exportation shall be
treated as including a reference to shipment to the Commonwealth of
Puerto Rico.
[T.D. ATF-465, 66 FR 45619, Aug. 29, 2001]
Sec. 275.85 Release from customs custody of imported tobacco articles.
(a) The provisions of this section apply only to tobacco products,
cigarette papers, and cigarettes tubes, which are not put up in
packages, i.e., not placed by the manufacturer or importer in packages
in which the products will be sold to consumers. Tobacco products
manufactured in a foreign country, the Virgin Islands, or a possession
of the United States may be released by the Port Director of Customs or
authorized customs officer from customs custody, without payment of
internal revenue tax, for transfer to the factory of any manufacturer of
tobacco products under the internal revenue bond of the manufacturer to
whom such articles are released. Cigarette papers and tubes manufactured
in a foreign country, the Virgin Islands, or a possession of the United
States may be released by the Port Director of Customs or authorized
customs officer from customs custody, without payment of internal
revenue tax, for transfer, under the internal revenue bond of the
manufacturer to whom such articles are released, to the factory of a
manufacturer of cigarette papers and tubes; or a manufacturer of tobacco
products solely for use in the manufacture of cigarettes. Releases under
this section must be in accordance with Sec. 275.86: Provided, however,
that in the case of products exported from the Virgin Islands, in order
for a manufacturer of tobacco products or a manufacturer of cigarette
papers and tubes to remove such products from customs custody in the
United States under the manufacturer's internal revenue bond without
payment of internal revenue tax, the manufacturer must file an extension
of coverage of the internal revenue bond on ATF Form 2105, and receive a
notice of approval from the appropriate ATF officer. The extension of
coverage must be executed by the principal and the surety and must be in
the following form:
``Whereas the purpose of this extension is to bind the obligors for
the purpose of the tax imposed by 26 U.S.C. 7652(b), on tobacco products
and tubes exported from the Virgin Islands and removed from customs
custody in the United States without payment of internal revenue tax,
for delivery to the principal on said bond.''
``Now, therefore, the said bond is further specifically conditioned
that the principal named therein must pay all taxes imposed by 26 U.S.C.
7652(b) plus penalties, if any, and interest, for which he may become
liable with respect to these products exported from the Virgin Islands
and removed from customs custody in the United States without payment of
internal revenue tax thereon, and must comply with all provision of law
and regulations with respect thereto.''
(b) Articles received into the factory of a manufacturer under the
provision of this section are subject to the provisions of part 40 of
this chapter.
(72 Stat. 1418, as amended; 26 U.S.C. 5704)
[T.D. ATF-422, 64 FR 71949, Dec. 22, 1999]
Sec. 275.85a Release from customs custody of returned articles.
(a) Domestically produced tobacco products (classifiable under item
9801.00.80 of the Harmonized Tariff Schedule of the United States, 19
U.S.C. 1202) exported from and returned to the United States without
change to the product or the shipping container may be released, under
the bond of the manufacturer or export warehouse proprietor to whom such
articles are released, from customs custody in the United States without
payment of that part of the duty attributable to the internal revenue
tax for delivery to the factory of any tobacco products manufacturer or
to the permit premises of an export warehouse proprietor.
(b) Domestically produced cigarette papers and tubes (classifiable
under item 9801.00.80 of the Harmonized Tariff
[[Page 21]]
Schedule of the United States, 19 U.S.C. 1202) exported from and
returned to the United States without change to the product or the
shipping container may be released from customs custody in the United
States without payment of that part of the duty attributable to the
internal revenue tax for delivery, under the bond of the manufacturer to
whom such articles are released, to the factory of:
(1) A manufacturer of cigarette papers and tubes; or
(2) A manufacturer of tobacco products solely for use in the
manufacture of cigarettes.
(c) Releases under this section must be in accordance with the
procedures set forth in Sec. 275.86. Once released, the tobacco
products and cigarette papers and tubes will be subject to the tax and
all other provisions of 26 U.S.C. chapter 52, and, as applicable,
subject to the provisions of the regulations in part 40 of this chapter
as if they had not been exported or otherwise removed from internal
revenue bond.
(72 Stat. 1418, as amended; 26 U.S.C. 5704)
[T.D. ATF-422, 64 FR 71949, Dec. 22, 1999]
Sec. 275.86 Procedure for release.
(a) Every manufacturer of tobacco products and cigarette papers and
tubes and every export warehouse proprietor who desires to obtain the
release of tobacco products and cigarette papers and tubes from customs
custody, without payment of internal revenue tax, under its internal
revenue bond, as provided in Sec. Sec. 275.85 or 275.85a, must prepare
a notice of release, Form 5200.11, in triplicate, and file the three
copies of the form with the appropriate ATF officer. The appropriate ATF
officer will not certify Form 5200.11 covering the release of tobacco
products and cigarette papers and tubes unless the manufacturer is
authorized, under part 40 of this chapter, to receive, without payment
of tax, the kinds of articles set forth in the form.
(b) Importers who are either manufacturers of tobacco products and
cigarette papers and tubes or export warehouse proprietors, or their
authorized agents, who request the release of tobacco products or
cigarette papers and tubes from customs custody in the United States
under this section, using customs electronic filing procedures, must not
request such release until they have received the ATF Form 5200.11
certified by the appropriate ATF officer. Once Customs releases the
tobacco products or cigarette papers and tubes in accordance with 19 CFR
Part 143, Customs Directives, and any other applicable instructions, the
importer will send a copy of the ATF Form 5200.11 along with a copy of
the electronic filing and customs release to the appropriate ATF officer
at the address shown thereon. The importer will retain one copy of the
ATF Form 5200.11 to meet ATF recordkeeping requirements and one copy to
meet customs recordkeeping requirements.
(c) Importers or their authorized agents requesting release of
tobacco products or cigarette papers and tubes from customs custody in
the United States under any other authorized procedure will submit all
copies of the ATF Form 5200.11 to the appropriate customs officer along
with their request for release. The customs officer will verify that the
ATF Form 5200.11 has been certified by the appropriate ATF officer and
return all copies to the importer or the importer's authorized
representative.
(d) Once Customs releases the tobacco products or cigarette papers
and tubes in accordance with 19 CFR Part 143, Customs Directives, and
any other applicable instructions, the importer will send a copy of the
ATF Form 5200.11 along with a copy of the customs release to the
appropriate ATF office at the address shown thereon. The importer will
retain one copy of the ATF Form 5200.11 to meet ATF recordkeeping
requirements and one copy to meet customs recordkeeping requirements.
(72 Stat. 1418, as amended, 1423, as amended; 26 U.S.C. 5704, 5741)
[T.D. ATF-422, 64 FR 71950, Dec. 22, 1999]
[[Page 22]]
Subpart G_Puerto Rican Tobacco Products and Cigarette Papers and Tubes,
Brought Into the United States
Sec. 275.101 General.
(a) Tobacco products and cigarette papers and tubes manufactured in
Puerto Rico which are brought into the United States and withdrawn for
consumption or sale are subject to the tax imposed by 26 U.S.C. 7652(a),
at the rates set forth in 26 U.S.C. 5701.
(b) The excise taxes collected on tobacco products and cigarette
papers and tubes manufactured in Puerto Rico are covered into the
Treasury of Puerto Rico. Tobacco products and cigarette papers and tubes
are considered as manufactured in Puerto Rico for purposes of 26 U.S.C.
7652(a)(3) if the sum of the cost or value of the materials produced in
Puerto Rico, plus the direct costs of processing operations performed in
Puerto Rico, equals or exceeds 50 percent of the value of the product
when it is brought into the United States.
(c) The excise tax on tobacco products and cigarette papers and
tubes of Puerto Rican manufacture may be prepaid in Puerto Rico prior to
shipment of such articles to the United States in accordance with Sec.
275.105. In the case of tobacco products such tax may be paid in Puerto
Rico on the basis of a semi-monthly return in accordance with the
applicable provisions of this subpart.
(68A Stat. 907, as amended, 72 Stat. 1417, 1418, as amended (26 U.S.C.
7652, 5703, 5704))
[T.D. ATF-206, 50 FR 15888, Apr. 23, 1985, as amended by T.D. ATF-232,
51 FR 28085, Aug. 5, 1986; T.D. ATF-243, 52 FR 43194, Dec. 1, 1986; T.D.
ATF-246, 52 FR 669, Jan. 8, 1987; T.D. ATF-422, 64 FR 71950, Dec. 22,
1999]
Prepayment of Tax in Puerto Rico on Tobacco products and Cigarette
Papers and Tubes
Sec. 275.105 Prepayment of tax.
To prepay, in Puerto Rico, the internal revenue tax imposed by 26
U.S.C. 7652(a), on tobacco products and cigarette paper and tubes of
Puerto Rican manufacture which are to be shipped to the United States,
the shipper must file, or cause to be filed, a tax return, ATF Form
5000.25, with full remittance of tax which will become due on such
tobacco products and cigarette papers and tubes.
(Approved by the Office of Management and Budget under control number
1512-0497)
[T.D. ATF-444, 66 FR 13850, Mar. 8, 2001]
Sec. 275.106 Examination and record of shipment by taxpayer.
(a) Shipments other than noncommercial mail shipment. The taxpayer
will ensure that the tax has been prepaid on the tobacco products and
cigarette papers and tubes in each shipment. The taxpayer will identify
the tobacco products or cigarette papers or tubes on the bill of lading
or similar record to accompany the shipment with the following
information:
(1) The marks and numbers on shipping containers;
(2) The number of containers;
(3) The kind of taxable article and the rate of tax, as specified by
275.30 through 275.35;
(4) The number of small cigarettes, large cigarettes or small cigars
to be shipped;
(5) The number and total sale price of large cigars with a price of
not more than $235.294 per thousand to be shipped;
(6) The number of large cigars with a sale price of more than
$235.294 per thousand to be shipped;
(7) The pounds and ounces of chewing tobacco or snuff to be shipped;
(8) The pounds and ounces of pipe tobacco or roll-your-own tobacco
to be shipped;
(9) The number of cigarette papers or tubes to be shipped;
(10) The amount of the tax paid on such articles under the
provisions of this subpart; and
(11) The name and address of the consignee in the United States to
whom such products are being shipped. The taxpayer will note such bills
of lading or similar records to identify the particular ATF Form 5000.25
on which taxes have been prepaid.
(b) Noncommercial mail shipments. Noncommercial mail shipments of
tobacco products and cigarette papers and tubes to the United States are
exempt from the provisions of paragraph
[[Page 23]]
(a) of this section, except that the taxpayer will provide a copy of the
ATF Form 5000.25 upon request of an appropriate ATF officer.
(Approved by the Office of Management and Budget under control number
1512-0560)
[T.D. ATF-444, 66 FR 13850, Mar. 8, 2001]
Sec. Sec. 275.107-275.108 [Reserved]
Deferred Payment of Tax in Puerto Rico on Tobacco Products
Sec. 275.109 Bond required for deferred taxpayment.
Where a manufacturer of tobacco products in Puerto Rico desires to
defer payment in Puerto Rico of the internal revenue tax imposed by 26
U.S.C. 7652(a), on tobacco products of Puerto Rican manufacture coming
into the United States, he shall file a bond, Form 2986, with the
regional director (compliance), in accordance with the provisions of
this subpart. Such bond shall be conditioned on the payment, at the time
and in the manner prescribed in this subpart, of the full amount of tax
computed under the provisions of this subpart with respect to tobacco
products which are released for shipment to the United States on
computation of tax. All taxes which are computed under the provisions of
this subpart shall be chargeable against the bond, until such taxes are
paid, as provided in Sec. 275.112. The bond shall show the location of
the factory from which the tobacco products to which it relates are to
be shipped.
[T.D. 6871, 31 FR 43, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-48, 44 FR 55855, Sept. 28, 1979; T.D.
ATF-232, 51 FR 28085, Aug. 5, 1986; T.D. ATF-243, 51 FR 43194, Dec. 1,
1986; T.D. ATF-251, 52 FR 19340, May 22, 1987]
Sec. 275.110 Record of tax computation and shipment by bonded manufacturer
under deferred taxpayment.
Where tobacco products or cigarette papers or tubes are to be
shipped to the United States involving deferred taxpayment, the bonded
manufacturer must calculate the tax from the information contained in
the bill of lading or a similar record. The bonded manufacturer will
identify each shipment on such record with the following information:
(a) The marks and numbers on shipping containers;
(b) The number of containers;
(c) The kind of taxable article and the rate of tax as specified in
275.30 through 275.35;
(d) The number of small cigarettes, large cigarettes or small cigars
to shipped;
(e) The number and total sale price of large cigars with a price of
not more than $235.294 per thousand to be shipped;
(f) The number of large cigars with a sale price of more than
$235.294 per thousand to be shipped;
(g) The pounds and ounces of chewing tobacco or snuff to be shipped;
(h) The pounds and ounces of pipe tobacco or roll-your-own tobacco
to be shipped;
(i) The number of cigarette papers or tubes;
(j) The amount of the tax to be paid on such articles under the
provisions of this subpart; and
(k) The name and address of the consignee in the United States to
whom such products are being shipped. The date of completing such record
will be treated as the date of computation of the tax. Tobacco products
or cigarette papers or tubes may be shipped to the United States in
accordance with the provisions of this section only after computation of
the tax.
(Approved by the Office of Management and Budget under control number
1512-0560)
[T.D. ATF-444, 66 FR 13851, Mar. 8, 2001]
Sec. 275.111 Agreement to Pay Tax.
Upon shipment of tobacco products and cigarette papers or tubes the
bonded manufacturer agrees:
(a) To pay the tax on the shipment;
(b) That there is no default in payment of tax chargeable against
the manufacturer's bond on ATF Form 2986 (5210.12); and
(c) That the amount of the manufacturer's bond is sufficient or in
the maximum penal sum to cover the tax due on the shipment.
[T.D. ATF-444, 66 FR 13851, Mar. 8, 2001]
[[Page 24]]
Sec. 275.112 Tax return.
The internal revenue taxes imposed by 26 U.S.C. 7652(a), with
respect to tobacco products manufactured in Puerto Rico and shipped to
the United States on computation of tax under the provisions of this
subpart shall be paid on the basis of a semimonthly tax return. The
bonded manufacturer of such products shall prepare ATF Form 5000.25 in
duplicate, and file the original with the Chief, Puerto Rico Operations,
and maintain one copy for the file for each semimonthly return period.
The bonded manufacturer shall execute the return, ATF Form 5000.25,
under the penalties of perjury. He shall file a return for each return
period at the time specified in Sec. 275.114, regardless of whether tax
is due for that return period. However, where the Regional Director
(compliance), Bureau of Alcohol, Tobacco and Firearms, Atlanta, GA,
grants specific authorization, the bonded manufacturer need not file a
tax return during the term of such authorization for any period in which
tax liability was not incurred under the provisions of this subpart.
(Approved by the Office of Management and Budget under control number
1512-0497)
[T.D. ATF-40, 42 FR 5006, Jan. 26, 1977, as amended by T.D. ATF-125, 48
FR 2123, Jan. 18, 1983; T.D. ATF-232, 51 FR 28086, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986; T.D. ATF-251, 52 FR 19340, May 22,
1987; T.D. ATF-277, 53 FR 45269, Nov. 9, 1988]
Sec. 275.113 Return periods.
Except as provided by Sec. 275.114, the periods to be covered in
the semimonthly tax returns shall be from the 1st day through the 15th
day of each month, and from the 16th day through the last day of each
month.
[T.D. ATF-365, 60 FR 33675, June 28, 1995]
Sec. 275.114 Time for filing.
(a) General rule. Semimonthly tax returns under this subpart shall
be filed by the bonded manufacturer, for each return period, not later
than the 14th day after the last day of the return period, except as
provided by paragraph (b) of this section. The tax shall be paid in full
by remittance at the time the return is filed as prescribed in Sec.
275.115 or Sec. 275.115a.
(b) Special rule for taxes due for the month of September (effective
after December 31, 1994). (1) The second semimonthly period for the
month of September shall be divided into two payment periods, from the
16th day through the 26th day, and from the 27th day through the 30th
day. The bonded manufacturer shall file a return on Form 5000.25, and
make remittance, for the period September 16-26, no later than September
29. The bonded manufacturer shall file a return on Form 5000.25, and
make remittance, for the period September 27-30, no later than October
14.
(2) Taxpayment not by electronic fund transfer. In the case of taxes
not required to be remitted by electronic fund transfer as prescribed by
Sec. 275.115a, the second semimonthly period of September shall be
divided into two payment periods, from the 16th day through the 25th
day, and the 26th day through the 30th day. The bonded manufacturer
shall file a return on Form 5000.25, and make remittance, for the period
September 16-25, no later than September 28. The bonded manufacturer
shall file a return on Form 5000.25, and make remittance, for the period
September 26-30, no later than October 14.
(3) Amount of payment: Safe harbor rule. (i) Taxpayers are
considered to have met the requirements of paragraph (b)(1) of this
section, if the amount paid no later than September 29 is not less than
11/15 (73.3 percent) of the tax liability incurred for the semimonthly
period beginning on September 1 and ending on September 15, and if any
underpayment of tax is paid by October 14.
(ii) Taxpayers are considered to have met the requirements of
paragraph (b)(2) of this section, if the amount paid no later than
September 28 is not less than 2/3rds (66.7 percent) of the tax liability
incurred for the semimonthly period beginning on September 1 and ending
on September 15, and if any underpayment of tax is paid by October 14.
(4) Last day for payment. If the required due date for taxpayment
for the periods September 16-25 or September 16-26 as applicable, falls
on a Saturday
[[Page 25]]
or legal holiday, the return and remittance shall be due on the
immediately preceding day. If the required due date falls on a Sunday,
the return and remittance shall be due on the immediately following day.
(c) Postmark. If the return, and remittance as the case may be, are
delivered by U.S. Mail to the office of the Chief, Puerto Rico
Operations, the date of the official postmark of the U.S. Postal Service
stamped on the cover in which the return, and remittance as the case may
be, were mailed shall be treated as the date of delivery.
(d) Weekends and holidays. Except as provided in paragraph (b)(4) of
this section, if the due date falls on a Saturday, Sunday, or legal
holiday, the return and remittance shall be due on the immediately
preceding day which is not a Saturday, Sunday, or legal holiday.
(Approved by the Office of Management and Budget under control number
1512-0467)
[T.D. ATF-246, 52 FR 669, Jan. 8, 1987, as amended by T.D. ATF-251, 52
FR 19340, May 22, 1987; T.D. ATF-365, 60 FR 33675, June 28, 1995; T.D.
ATF-444, 66 FR 13851, Mar. 8, 2001]
Sec. 275.114a Qualification for extended deferral.
Note: This section applies only to removals made before January 1,
1983.
(a) Bonded manufacturers with bonds executed before September 1,
1973. Bonded manufacturers with bonds on Form 2936 executed before
September 1, 1973, who desire to file returns under this subpart with
benefit of the extended deferral permitted by Sec. 275.114 shall file
with the regional director (compliance) an extension of coverage of bond
on Form 2105. Such extension of coverage shall identify the particular
bond to which it applies and shall contain a statement of purpose as
follows:
To continue in effect said bond (including all extensions or
limitations of terms and conditions previously consented to and
approved) notwithstanding that the time for payment of the tax may be
deferred by the extended deferral period permitted by regulations in 27
CFR 275.114.
If the bond on Form 2986 is in an amount insufficient to cover an
extended deferral period, according to the requirements of Sec.
275.121, the bonded manufacturer must either file a new bond or file a
strengthening bond to increase the total amount of the bonds then in
force to a sufficient amount.
(b) Bonded manufacturers with bonds executed after September 1,
1973. Bonded manufacturers operating under original or superseding bonds
executed after September 1, 1973, are automatically qualified for the
extended deferral permitted by Sec. 275.114 (unless found in default as
provided in Sec. 275.116). Such bonds must be executed in an amount
sufficient to cover an extended deferral period, according to the
requirements of Sec. 275.121.
(c) Commencement of extended deferral. Bonded manufacturers may file
returns with benefit of extended deferral only after the applicable
bonds and extensions of coverage required by this section have been
filed with and approved by the regional director (compliance).
(68A Stat. 847, as amended, 907, as amended; 26 U.S.C. 7101, 7652(a); 26
U.S.C. 7805)
[T.D. ATF-5, 38 FR 19688, July 23, 1973. Redesignated at 40 FR 16835,
Apr. 15, 1975, and amended by T.D. ATF-48, 44 FR 55855, Sept. 28, 1979;
T.D. ATF-125, 48 FR 2123, Jan. 18, 1983; T.D. ATF-251, 52 FR 19340, May
22, 1987]
Sec. 275.115 Remittance with return.
Remittance of the full amount of internal revenue tax computed
during the return period shall accompany the return, except as
prescribed in Sec. 275.115a. Such remittance may be in any form the
Chief, Puerto Rico Operations is authorized to accept under the
provisions of Sec. 70.61 of this chapter (Payment by check or money
order) and which is acceptable to that officer. In paying the tax, a
fractional part of a cent shall be disregarded unless it amounts to one-
half cent or more, in which case it shall be increased to one cent.
(Aug. 16, 1954, Ch. 736, 68A Stat. 778 (26 U.S.C. 6313) Aug. 16, 1954,
ch. 736, 68A Stat. 775 (26 U.S.C. 6301); June 29, 1956, ch. 462, 70
Stat. 391 (26 U.S.C. 6301))
[26 FR 8195, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-48, 44 FR 55855, Sept. 28, 1979; T.D. ATF-77, 46
FR 3009, Jan. 13, 1981; T.D. ATF-251, 52 FR 19340, May 22, 1987; T.D.
ATF-301, 55 FR 47658, Nov. 14, 1990]
[[Page 26]]
Sec. 275.115a Payment of tax by electronic fund transfer.
(a) General. (1) Each taxpayer who was liable, during a calendar
year, for a gross amount equal to or exceeding five million dollars in
taxes on tobacco products, cigarette papers, and cigarette tubes
combining tax liabilities incurred under this part and part 40 of this
chapter, shall use a commercial bank in making payment by electronic
fund transfer (EFT) of taxes on tobacco products, cigarette papers, and
cigarette tubes during the succeeding calendar year. Payment of taxes on
tobacco products, cigarette papers, and cigarette tubes by cash, check,
or money order, as described in Sec. 275.115, is not authorized for a
taxpayer who is required, by this section, to make remittances by EFT.
For purposes of this section, the dollar amount of tax liability is
defined as the gross tax liability of all taxes which are paid in
accordance with this subpart, taxable withdrawals from premises in the
United States, and importations during the calendar year, without regard
to any drawbacks, credits, or refunds, for all premises from which such
activities are conducted by the taxpayer. Overpayments are not taken
into account in summarizing the gross tax liability.
(2) For the purposes of this section, a taxpayer includes a
controlled group of corporations, as defined in 26 U.S.C. 1563, and
implementing regulations in 26 CFR 1.1563-1 through 1.1563-4, except
that the words ``at least 80 percent'' shall be replaced by the words
``more than 50 percent'' in each place it appears in subsection (a) of
26 U.S.C. 1563, as well as in the implementing regulations. Also, the
rules for a ``controlled group of corporations'' apply in a similar
fashion to groups which include partnerships and/or sole
proprietorships. If one entity maintains more than 50% control over a
group consisting of corporations and one, or more, partnerships and/or
sole proprietorships, all of the members of the controlled group are one
taxpayer for the purpose of determining who is required to make
remittances by EFT.
(3) A taxpayer who is required by this section to make remittances
by EFT, shall make a separate EFT remittance and file a separate tax
return for each factory which tobacco products, or cigarette papers, or
cigarette tubes are withdrawn upon determination of tax.
(b) Requirements. (1) On or before January 10 of each calendar year,
except for a taxpayer already remitting the tax by EFT, each taxpayer
who was liable for a gross amount equal to or exceeding five million
dollars in taxes on tobacco products, cigarette papers, and cigarette
tubes combining tax liabilities incurred under this part and part 40 of
this chapter during the previous calender year, shall notify, in
writing, the regional director (compliance), for each region in which
taxes are paid. The notice shall be an agreement to make remittances by
EFT.
(2) For each return filed in accordance with this part, the taxpayer
shall direct the taxpayer's bank to make an electronic fund transfer in
the amount of the taxpayment to the Treasury Account as provided in
paragraph (e) of this section. The request shall be made to the bank
early enough for the transfer to be made to the Treasury Account by no
later than the close of business on the last day for filing the return,
prescribed in Sec. 275.105 or Sec. 275.114. The request shall take
into account any time limit established by the bank.
(3) If a taxpayer was liable for less than five million dollars in
taxes on tobacco products, cigarette papers, and cigarette tubes during
the preceding calendar year, the taxpayer may choose either to continue
remitting the tax as provided in this section or to remit the tax with
the return as prescribed by Sec. 275.115. On the first return on which
the taxpayer chooses to discontinue remitting the tax by EFT and to
begin remitting the tax with the tax return, the taxpayer shall notify
the regional director (compliance) by attaching a written notification
to the tax return, stating that no taxes are due by EFT, because the tax
liability during the preceding calendar year was less than five million
dollars, and that the remittance shall be filed with the tax return.
(c) Remittance. (1) Each taxpayer shall show on the tax return,
information about remitting the tax for that return by EFT and shall
file the return with the Chief, Puerto Rico Operations.
[[Page 27]]
(2) Remittances shall be considered as made when the taxpayment by
electronic fund transfer is received by the Treasury Account. For
purposes of this section, a taxpayment by electronic fund transfer shall
be considered as received by the Treasury Account when it is paid to a
Federal Reserve Bank.
(3) When the taxpayer directs the bank to effect an electronic fund
transfer message as required by paragraph (b)(2) of this section, any
transfer data record furnished to the taxpayer, through normal banking
procedures, will serve as the record of payment, and shall be retained
as part of required records.
(d) Failure to make a taxpayment by EFT. The taxpayer is subject to
a penalty imposed by 26 U.S.C. 5761, 6651, or 6656, as applicable, for
failure to make a taxpayment by EFT on or before the close of business
on the prescribed last day for filing.
(e) Procedure. Upon the notification required under paragraph (b)(1)
of this section, the appropriate ATF officer will issue to the taxpayer
an ATF Procedure entitled, Payment of Tax by Electronic Fund Transfer.
This publication outlines the procedure a taxpayer is to follow when
preparing returns and EFT remittances in accordance with this part.
(Approved by the Office of Management and Budget under Control Number
1512-0457)
(Act of August 16, 1954, 68A Stat. 775, as amended (26 U.S.C. 6302);
sec. 202, Pub. L. 85-859, 72 Stat. 1417, as amended (26 U.S.C. 5703))
[T.D. ATF-185, 49 FR 37583, Sept. 25, 1984, as amended by T.D. ATF-232,
51 FR 28086, Aug. 5, 1986; T.D. ATF-243, 51 FR 43194, Dec. 1, 1986; T.D.
ATF-245, 52 FR 534, Jan. 7, 1987; T.D. ATF-251, 52 FR 19340, May 22,
1987; T.D. ATF-262, 52 FR 47560, Dec. 15, 1987; T.D. ATF-277, 53 FR
45269, Nov. 9, 1988; T.D. ATF-384, 61 FR 54095, Oct. 17, 1996; T.D. ATF-
422, 64 FR 71951, Dec. 22, 1999]
Sec. 275.116 Default.
Where a check or money order tendered with a semimonthly return for
payment of internal revenue tax under the provisions of this subpart is
not paid on presentment, where a bonded manufacturer fails to remit with
the semimonthly return the full amount of tax due thereunder, or where a
bonded manufacturer is otherwise in default in payment of tax under the
provisions of this subpart, he shall not ship tobacco products to the
United States on computation of tax, until the regional director
(compliance) finds that the revenue will not be jeopardized by deferred
payment of tax under the provisions of this subpart.
[T.D. 6871, 31 FR 44, Jan 4, 1966. Redesignated at 40 FR 16835, Apr. 15,
1975, and amended by T.D. ATF-232, 51 FR 28086, Aug. 5, 1986; T.D. ATF-
243, 51 FR 43194, Dec. 1, 1986; T.D. ATF-251, 52 FR 19340, May 22, 1987]
Sec. Sec. 275.117-275.118 [Reserved]
Sec. 275.119 Corporate surety.
(a) Surety bonds, required under the provisions of this subpart, may
be given only with corporate sureties holding certificates of authority
from the Secretary of the Treasury as acceptable sureties on Federal
bonds. Limitations concerning corporate sureties are prescribed by the
Secretary in the current revision of Treasury Department Circular No.
570 (Companies Holding Certificates of Authority as Acceptable Sureties
on Federal Bonds and as Acceptable Reinsuring Companies). The surety
shall have no interest whatever in the business covered by the bond.
(b) Treasury Department Circular No. 570 is published in the Federal
Register annually as of the first workday of July. As they occur,
interim revisions of the circular are published in the Federal Register.
Copies may be obtained from the Audit Staff, Bureau of Government
Financial Operations, Department of the Treasury, Washington, DC 20226.
(July 30, 1947, ch. 390, 61 Stat. 648, as amended (6 U.S.C. 6, 7))
[T.D. ATF-92, 46 FR 46922, Sept. 23, 1981]
Sec. 275.120 Deposit of securities in lieu of corporate surety.
In lieu of corporate surety, the manufacturer of tobacco products in
Puerto Rico may pledge and deposit, as security for his bond, securities
which are transferrable and are guaranteed both as to interest and as to
principal by the
[[Page 28]]
United States, in accordance with the provisions of 31 CFR part 225.
(61 Stat. 650; 6 U.S.C. 15)
[T.D. 6871, 31 FR 44, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28086, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986]
Sec. 275.121 Amount and Account of bond.
(a) Bond amount. Except for the maximum and minimum amounts stated
in this paragraph, the total amount of the bond or bonds for tobacco
products or cigarette papers or tubes under the provisions of this
subpart must be in an amount not less than the amount of unpaid tax
chargeable at any one time against the bond. A manufacturer who will
defer payment of tax for a shipment of tobacco products or cigarette
papers or tubes under the provisions of this subpart must have
sufficient credit in this account to cover the taxes prior to making the
shipment to the United States. The maximum and minimum amounts of such
bond or bonds are as follows:
------------------------------------------------------------------------
Bond amount Bond amount
Taxable article maximum minimum
------------------------------------------------------------------------
(1) Cigarettes.......................... $250,000 $1,000
(2) Any combination of taxable articles. 250,000 1,000
(3) One kind of taxable article other 150,000 1,000
than cigarettes........................
------------------------------------------------------------------------
(b) Bond Account. Where the amount of a bonded manufacturer's bond
is less than the maximum amount prescribed in paragraph (a) of this
section, a bonded manufacturer must maintain an account reflecting all
outstanding taxes with which the manufacturer's bond is chargeable. A
manufacturer must debit such account with the amount of tax that was
agreed to be paid under Sec. 275.111 or is otherwise chargeable against
such bond and then must credit the account for the amount paid on Form
5000.25 or other ATF-prescribed document, at the time it is filed.
(Approved by the Office of Management and Budget under control number
1512-0560)
[T.D. ATF-444, 66 FR 13851, Mar. 8, 2001]
Sec. 275.122 Strengthening bond.
Where the amount of any bond is no longer sufficient under the
provisions of Sec. 275.121, the bonded manufacturer shall immediately
file a strengthening bond in an appropriate amount with the same surety
as that on the bond already in effect, unless a superseding bond is
filed pursuant to Sec. 275.123. A strengthening bond will not be
approved where any notation is made thereon which is intended, or which
may be construed, as a release of any former bond, or as limiting the
amount of either bond to less than its full amount.
[26 FR 8195, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975]
Sec. 275.123 Superseding bond.
A bonded manufacturer shall immediately file a new bond to supersede
his current bond when (a) the corporate surety on the current bond
becomes insolvent, (b) the regional director (compliance) approves a
request from the surety on the current bond to terminate his liability
under the bond, (c) the payment of any liability under a bond is made by
the surety thereon, (d) the amount of the bond is no longer sufficient
under the provisions of Sec. 275.121 and a strengthening bond has not
been filed, or (e) the regional director (compliance) considers a
superseding bond necessary for the protection of the revenue.
[26 FR 8195, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-251, 52 FR 19341, May 22, 1987]
Sec. 275.124 Extension of coverage of bond.
An extension of coverage of the bond of a bonded manufacturer shall
be required (a) as provided in Sec. 275.114a, and (b) in the case of
any change in the location of the factory as set forth in the bond. Such
extension of coverage of the bond shall be manifested on Form 2105
[[Page 29]]
by the bonded manufacturer and by the surety on the bond with the same
formality and proof of authority as required for the execution of the
bond.
[T.D. ATF-5, 38 FR 19689, July 23, 1973. Redesignated at 40 FR 16835,
Apr. 15, 1975]
Sec. 275.125 Approval of bond and extension of coverage of bond.
The regional director (compliance) is authorized to approve all
bonds and extensions of coverage of bonds (except under Sec. 275.136)
filed under this subpart. No manufacturer of tobacco products in Puerto
Rico shall defer taxes under this subpart until he receives from the
regional director (compliance) notice of approval of the bond or of an
appropriate extension of coverage of the bond required under this
subpart. Upon receipt of the duplicate copy of an approved bond or
extension of coverage of bond from the regional director (compliance),
such copy of the bond or extension of coverage of bond shall be retained
by the bonded manufacturer and shall be made available for inspection by
any ATF officer upon his request.
[T.D. 6871, 31 FR 45, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28086, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986; T.D. ATF-251, 52 FR 19341, May 22,
1987]
Sec. 275.126 Termination of bond.
Any bond given under the provisions of this subpart may be
terminated as to future transactions, by the regional director
(compliance), (a) pursuant to application of surety as provided in Sec.
275.127; (b) on approval of a superseding bond; (c) on notification by
the bonded manufacturer to the regional director (compliance) that he
has discontinued the deferral of taxes under the bond; or (d) on
notification by the bonded manufacturer to the regional director
(compliance) that he has discontinued business. When any bond is
terminated, the regional director (compliance) shall notify both the
bonded manufacturer and surety on such bond, in writing, of such action.
[26 FR 8196, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-251, 52 FR 19341, May 22, 1987]
Sec. 275.127 Application of surety for relief from bond.
A surety on any bond given under the provisions of this subpart may
at any time in writing notify the bonded manufacturer and the regional
director (compliance) that he desires, after a date named, to be
relieved of liability under said bond. Such date shall be not less than
10 days after the date the notice is received by the regional director
(compliance). The surety shall also file with the regional director
(compliance) an acknowledgement or other proof of service on the bonded
manufacturer. If such notice is not thereafter in writing withdrawn, the
rights of the bonded manufacturer as supported by said bond shall be
terminated on the date named in the notice, and the surety shall be
relieved from liability to the extent set forth in Sec. 275.128.
[26 FR 8196, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-251, 52 FR 19341, May 22, 1987]
Sec. 275.128 Relief of surety from bond.
Where the surety on a bond given under the provisions of this
subpart has filed application for relief from liability as provided in
Sec. 275.127, the surety shall be relieved from liability for
transactions occurring wholly subsequent to the date specified in the
notice, or the effective date of a new bond, if one is given.
[26 FR 8196, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975]
Sec. 275.129 Release of pledged securities.
Securities of the United States, pledged and deposited as provided
in Sec. 275.120, shall be released only in accordance with the
provisions of 31 CFR part 225. Such securities will not be released by
the regional director (compliance) until the liability under the bond
for which they were pledged has been terminated. When the regional
director (compliance) is satisfied that they may be released, he shall
fix the date or dates on which a part or all of such securities may be
released. At any time prior to the release of such securities, the
regional director (compliance) may
[[Page 30]]
extend the date of release for such additional length of time as he
deems necessary.
(61 Stat. 650; 6 U.S.C. 15)
[26 FR 8196, Aug. 31, 1961. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-251, 52 FR 19341, May 22, 1987]
Sec. Sec. 275.135-275.138 [Reserved]
Sec. 275.139 Records.
Every manufacturer of tobacco products and cigarette papers and
tubes in the United States who receives tobacco products or cigarette
papers or tubes or Puerto Rican manufacture, without payment of internal
revenue tax, under his bond, shall keep separate records of all items
received, removed subject to tax, removed for tax-exempt purposes, and
otherwise disposed of, showing the following information:
(a) Date, quantity, kind of cigars, cigarettes, smokeless tobacco,
pipe tobacco and roll-your-own tobacco (number of small cigars--large
cigars; number of small cigarettes--large cigarettes; pounds and ounces
of chewing tobacco--snuff; pounds and ounces of pipe tobacco--roll-your-
own tobacco).
(b) The sale price of large cigars removed subject to tax, except
that if the price is more than $235.294 per thousand, it may be shown as
if it were $236 per thousand.
(c) Cigarette papers:
(1) Before January 1, 2000, the date and number of books or sets of
cigarette papers of each numerical content.
(2) On and after January 1, 2000, the date and number of cigarette
papers.
(d) The date and number of cigarette tubes.
(Approved by the Office of Management and Budget under control number
1512-0362)
(Sec. 2128(c), Pub. L. 94-455, 90 Stat. 1921 (26 U.S.C. 5741))
[T.D. ATF-80, 46 FR 18311, Mar. 24, 1981, as amended by T.D. ATF-172, 49
FR 14943, Apr. 16, 1984; T.D. ATF-243, 51 FR 43194, Dec. 1, 1986; T.D.
ATF-289, 54 FR 48841, Nov. 27, 1989; T.D. ATF-307, 55 FR 52745, Dec. 21,
1990; T.D. ATF-424, 64 FR 71933, Dec. 22, 1999; T.D. ATF-420, 64 FR
71944, Dec. 22, 1999]
Sec. 275.140 Taxpayment in the United States.
Every manufacturer of tobacco products or cigarette papers or tubes
in the United States who receives Puerto Rican tobacco products or
cigarette papers or tubes without payment of internal revenue tax, under
his bond, and subsequently removes such products, subject to tax, must
pay the tax imposed on such products by 26 U.S.C. 7652(a), at the rates
prescribed in 26 U.S.C. 5701, on the basis of a return under the
provisions of part 40 of this chapter applicable to the taxpayment of
tobacco products. Similarly, every manufacturer of cigarette papers and
tubes in the United States who receives Puerto Rican cigarette papers
and tubes and subsequently removes such articles, shall pay the tax
imposed on such articles by 26 U.S.C. 7652(a), at the rates prescribed
in 26 U.S.C. 5701, on the basis of a return under the provisions of part
40 of this chapter applicable to taxpayment of cigarette papers and
tubes. Such tobacco products and cigarettes papers and tubes shall be
separately listed and identified as articles of Puerto Rican manufacture
on Form 5000.24. The amount of tax paid on such articles shall be
separately stated on Form 5000.24.
[T.D. 6871, 31 FR 45, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-48, 44 FR 55855, Sept. 28, 1979; T.D.
ATF-232, 51 FR 28086, Aug. 5, 1986; T.D. ATF-243, 51 FR 43194, Dec. 1,
1986; T.D. ATF-384, 61 FR 54095, Oct. 17, 1996; T.D. ATF-424, 64 FR
71933, Dec. 22, 1999; T.D. ATF-422, 64 FR 71951, Dec. 22, 1999]
Sec. 275.141 Reports.
Every manufacturer of tobacco products or cigarette papers or tubes
in the United States who receives Puerto Rican tobacco products, or
cigarette papers or tubes without payment of internal revenue tax, under
his bond, must report the receipt and disposition of such tobacco
products and cigarette papers and tubes on supplemental monthly reports.
Such supplemental reports shall be made on Form 5210.5 or Form 2138 and
shall have inserted thereon the heading, ``Cigars and Cigarettes of
Puerto Rican Manufacture'' or ``Cigarette Papers and Tubes of Puerto
Rican Manufacture,'' as the case may be. The original of such
supplemental
[[Page 31]]
report shall be attached to the manufacturer's regular monthly report
when filed.
(72 Stat. 1422; 26 U.S.C. 5722)
[T.D. 6871, 31 FR 46, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975; T.D. ATF-232, 51 FR 28086, Aug. 5, 1986; T.D. ATF-243, 51 FR
43194, Dec. 1, 1986; T.D. ATF-424, 64 FR 71933, Dec. 22, 1999; T.D. ATF-
422, 64 FR 71951, Dec. 22, 1999]
Subpart H [Reserved]
Sec. Sec. 275.151-275.153 [Reserved]
Subpart I_Claims
General
Sec. 275.161 Abatement of assessment.
A claim for abatement of the unpaid portion of the assessment of any
tax on tobacco products and cigarette papers and tubes, or any liability
in respect thereof, may be allowed to the extent that such assessment is
excessive in amount, is assessed after expiration of the applicable
period of limitation, or is erroneously or illegally assessed. Any claim
under this section shall be prepared on Form 2635 (5620.8), in
duplicate, and shall set forth the particulars under which the claim is
filed. The original of the claim, accompanied by such evidence as is
necessary to establish to the satisfaction of the regional director
(compliance) that the claim is valid, shall be filed with the regional
director (compliance) for the region in which the tax or liability was
assessed, and the duplicate of the claim shall be retained by the
claimant.
(68A Stat. 792; 26 U.S.C. 6404)
[T.D. 6871, 31 FR 46, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28086, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986; T.D. ATF-251, 52 FR 19341, May 22,
1987]
Sec. 275.162 Losses caused by disaster occurring after September 2, 1958.
Claims involving internal revenue tax paid or determined and customs
duty paid on tobacco products and cigarette papers and tubes removed,
which are lost, rendered unmarketable, or condemned by a duly authorized
official by reason of a ``major disaster'' occurring in the United
States after September 2, 1958, shall be filed in accordance with the
provisions of subpart C of part 46 of this chapter.
(72 Stat. 1420; 26 U.S.C. 5708)
[T.D. 6871, 31 FR 46, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28086, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986; T.D. ATF-457, 66 FR 32220, June 14,
2001]
Sec. 275.163 Refund of tax.
The taxes paid on tobacco products and cigarette papers and tubes
imported or brought into the United States may be refunded (without
interest) to the taxpayer on proof satisfactory to the regional director
(compliance) that the taxpayer has paid the tax on tobacco products and
cigarette papers and tubes lost (otherwise than by theft) or destroyed,
by fire, casualty, or act of God, while in the possession or ownership
of such taxpayer, or withdrawn by him from the market. Any claim for
refund of tax under this section shall be prepared on Form 2635
(5620.8), in duplicate, and shall include a statement that the tax
imposed on tobacco products and cigarette papers and tubes by 26 U.S.C.
7652 or chapter 52, as applicable, has been paid in respect to the
articles covered in the claim, and that the articles were lost,
destroyed, or withdrawn from the market, within six months preceding the
date the claim is filed and shall be executed under the penalties of
perjury. A claim for refund relating to articles lost or destroyed shall
be supported as prescribed in Sec. 275.165, and a claim relating to
articles withdrawn from the market shall include a schedule prepared and
verified as prescribed in Sec. Sec. 275.170 and 275.171 or Sec. Sec.
275.172 and 275.173. The original of the claim shall be filed with the
regional director (compliance) for the region in which the tax was paid,
or, where the tax was paid in more than one region, with the regional
director (compliance) for any one of the regions in which the tax was
paid. The duplicate of the claim, with the copy of any verified
supporting
[[Page 32]]
schedules, shall be retained by the claimant.
(68A Stat. 907, as amended, 72 Stat. 1419, as amended; 26 U.S.C. 7652,
5705)
[T.D. 6871, 31 FR 46, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-48, 44 FR 55855, Sept. 28, 1979; T.D.
ATF-232, 51 FR 28086, Aug. 5, 1986; T.D. ATF-243, 52 FR 43194, Dec. 1,
1986; T.D. ATF-251, 52 FR 19341, May 22, 1987]
Tobacco Products and Cigarette Papers and Tubes Lost or Destroyed
Sec. 275.165 Action by taxpayer.
Where tobacco products and cigarette papers and tubes which have
been imported or brought into the United States are lost (otherwise than
by theft) or destroyed, by fire, casualty, or act of God, and the
taxpayer desires to file claim for refund of the tax on such articles,
he shall, in addition to complying with the requirements of Sec.
275.163, indicate on the claim the nature, date, place, and extent of
such loss or destruction. The claim shall be accompanied by such
evidence as is necessary to establish to the satisfaction of the
regional director (compliance) that the claim is valid.
(72 Stat. 1419, as amended; 26 U.S.C. 5705)
[T.D. 6871, 31 FR 46, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28086, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986]
Tobacco Products and Cigarette Papers and Tubes Withdrawn From the
Market
Sec. 275.170 Reduction of tobacco products to materials; ATF action.
(a) General. Where tobacco products and cigarette papers and tubes
which have been imported or brought into the United States are withdrawn
from the market and the taxpayer desires to file claim for refund of the
tax on the articles, he shall, in addition to the requirements of Sec.
275.163, assemble the articles at any suitable place, if they are to be
destroyed or reduced to tobacco. The taxpayer shall group the articles
according to the rates of tax applicable to the articles, and shall
prepare a schedule of the articles on ATF Form 5200.7, in triplicate.
All copies of the schedule shall be forwarded to the regional director
(compliance) for the region in which the tobacco products and cigarette
papers and tubes are assembled.
(b) Large cigars. Refund or credit of tax on large cigars withdrawn
from the market is limited to the lowest tax applicable to that brand
and size of cigar during the required record retention period (see Sec.
275.22) except where the importer establishes that a greater amount was
actually paid. For each claim involving large cigars withdrawn from the
market, the importer must include a certification on either ATF Form
5200.7 or ATF Form 2635 (5620.8) to read as follows:
The amounts claimed relating to large cigars are based on the lowest
sale price applicable to the cigars during the required record retention
period, except where specific documentation is submitted with the claim
to establish that any greater amount of tax claimed was actually paid.
(See 26 U.S.C. 5705)
[T.D. ATF-80, 46 FR 18311, Mar. 24, 1981, as amended by T.D. ATF-232, 51
FR 28086, Aug. 5, 1986; T.D. ATF-243, 51 FR 43194, Dec. 1, 1986; T.D.
ATF-251, 52 FR 19341, May 22, 1987; T.D. ATF-307, 55 FR 52745, Dec. 21,
1990; T.D. ATF-424, 64 FR 71933, Dec. 22, 1999; T.D. ATF-420, 64 FR
71944, Dec. 22, 1999]
Sec. 275.171 Reduction of tobacco products to materials, action by
regional director (compliance).
Upon receipt of a schedule of tobacco products and cigarette papers
and tubes which have been imported or brought into the United States and
which are withdrawn from the market by a taxpayer who desires to destroy
such articles or, in the case of tobacco products, reduce them to
tobacco, the regional director (compliance) may assign an ATF officer to
verify the schedule and supervise destruction of the articles (and
stamps, if any) or the reduction of tobacco products to tobacco, or the
regional director (compliance) may authorize the taxpayer to destroy the
articles (and stamps, if any) or reduce tobacco products to tobacco
without
[[Page 33]]
supervision by so stating on the original and one copy of the schedule
returned to the taxpayer.
(72 Stat. 1419, as amended; 26 U.S.C. 5705)
[T.D. 6871, 31 FR 46, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28087, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986]
Sec. 275.172 Return to nontaxpaid status, action by taxpayer.
(a) General. Where tobacco products and cigarette papers and tubes
which have been imported or brought into the United States are withdrawn
from the market and the taxpayer desires to file a claim for refund of
the tax on the articles and return them to a nontaxpaid status, he
shall, in addition to the requirements of Sec. 275.163, assemble the
articles in or adjacent to the factory in which the articles are to be
retained or received in a nontaxpaid status. The taxpayer shall group
the articles according to the rates of tax applicable to the articles,
and shall prepare a schedule of the articles, on Form 5200.7, in
triplicate. All copies of the schedule shall be forwarded to the
regional director (compliance) for the region in which the tobacco
products and cigarette papers and tubes are assembled.
(b) Large cigars. Refund or credit of tax on large cigars withdrawn
from the market is limited to the lowest tax applicable to that brand
and size of cigar during the required record retention period (see Sec.
275.22) except where the importer establishes that a greater amount was
actually paid. For each claim involving large cigars withdrawn from the
market, the importer must include a certification on either ATF Form
5200.7 or ATF Form 2635 (5620.8) to read as follows:
The amounts claimed relating to large cigars are based on the lowest
sale price applicable to the cigars during the required record retention
period, except where specific documentation is submitted with the claim
to establish that any greater amount of tax claimed was actually paid.
(See 26 U.S.C. 5705)
[T.D. ATF-80, 46 FR 18311, Mar. 24, 1981, and amended by T.D. ATF-232,
51 FR 28087, Aug. 5, 1986; T.D. ATF-243, 51 FR 43194, Dec. 1, 1986; T.D.
ATF-251, 52 FR 19341, May 22, 1987; T.D. ATF-307, 55 FR 52745, Dec. 21,
1990; T.D. ATF-424, 64 FR 71933, Dec. 22, 1999; T.D. ATF-420, 64 FR
71944, Dec. 22, 1999]
Sec. 275.173 Return to nontaxpaid status, action by regional director
(compliance).
Upon receipt of a schedule of tobacco products and cigarette papers
and tubes which have been imported or brought into the United States and
which are withdrawn from the market by a taxpayer who desires to return
such articles to a nontaxpaid status, the regional director (compliance)
may assign an ATF officer to verify the schedule and supervise
disposition of the articles (and destruction of the stamps, if any) or
the regional director (compliance) may authorize the receiving
manufacturer to verify the schedule and disposition of the articles (and
destruction of the stamps, if any) covered therein, without supervision,
by so stating on the original and one copy of the schedule returned to
the manufacturer. Where the receipt in a factory of tobacco products and
cigarette papers and tubes has been verified, such articles shall be
treated by the receiving manufacturer as nontaxpaid and shall be covered
by the manufacturer's bond.
(72 Stat. 1419, as amended; 26 U.S.C. 5705)
[T.D. 6871, 31 FR 47, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28087, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986]
Sec. 275.174 Disposition of tobacco products and cigarette papers and
tubes, and schedule.
When an ATF officer is assigned to verify the schedule and supervise
destruction or other disposition of tobacco products and cigarette
papers and tubes which have been imported or brought into the United
States, such officer shall, upon completion of his assignment, execute a
certificate on all
[[Page 34]]
copies of the schedule to show the disposition and the date of
disposition of such articles. The ATF officer shall return the original
and one copy of the certified schedule to the taxpayer. When a taxpayer
destroys such articles (and stamps, if any) or reduces tobacco products
to materials, or a receiving manufacturer verifies the schedule and
disposition of such articles (and stamps, if any), he shall execute a
certificate on the original and the copy of the schedule returned to
him, to show the disposition and the date of disposition of the
articles. The taxpayer shall attach the original of the certified
schedule to his claim for refund.
(72 Stat. 1419, as amended; 26 U.S.C. 5705)
[T.D. 6871, 31 FR 47, Jan. 4, 1966. Redesignated at 40 FR 16835, Apr.
15, 1975, and amended by T.D. ATF-232, 51 FR 28087, Aug. 5, 1986; T.D.
ATF-243, 51 FR 43194, Dec. 1, 1986]
Subpart J_Records and Reports
Source: T.D. ATF-40, 42 FR 5007, Jan. 26, 1977, unless otherwise
noted.
Sec. 275.181 Records of large cigars.
Every person who imports large cigars for sale within the United
States must keep such records as are necessary to establish and verify
the sale price that applies to large cigars removed (entered or
withdrawn).
(a) Basic record. The importer must keep a record to show each sale
price (as determined under Sec. 275.39), which is applicable to large
cigars removed. No later than the tenth business day in January of each
year the importer must prepare such a record to show the sale price in
effect on the first day of that year for each brand and size of large
cigars. The importer must note any change in a price from that shown in
the record within ten business days after such change in price. The
record must be a continuing one for each brand and size of cigar (and
type of packaging, if pertinent), so that the taxable price on any date
may be readily ascertained. If an importer removes new types of large
cigars after the beginning of the year, the importer must enter the sale
price and its effective date for such large cigars in the basic record
within ten business days after such removal.
(b) Copies of price announcements. The importer must keep a copy of
each general announcement that is issued internally or to the trade
about establishment or change of large cigar sale prices. If the copy
does not show the actual date when issued it must be annotated to show
this information.
(c) Copies of entry and withdrawal forms. The importer must keep a
copy of each customs entry or withdrawal form on which internal revenue
tax for large cigars is declared pursuant to Sec. 275.81.
(d) Alternative record. If an importer has so few import
transactions and/or brands and sizes of large cigars that retention of
an appropriate copy of each entry and withdrawal form required under
paragraph (c) of this section will provide an adequate record of sale
prices, then the record required under paragraph (a) of this section
need not be kept. In such case the entry and withdrawal forms must
identify the brands and sizes of cigars covered and show the
corresponding quantity and sale price for each. If such information was
not originally entered on the form it may be included by annotation.
Whenever the appropriate ATF officer finds that alternative records
being kept pursuant to this paragraph are inadequate for the intended
purpose, he or she may so notify the importer in writing, after which
time the importer must keep the record required under paragraph (a) of
this section.
(Approved by the Office of Management and Budget under control number
1512-0368)
[T.D. ATF-420, 64 FR 71944, Dec. 22, 1999]
Sec. 275.182 Availability of records.
The records required under Sec. 275.181 shall be kept by the
importer at his usual place of business unless otherwise authorized in
writing by the regional director (compliance), and shall be made
available for inspection by any ATF officer upon his request. (For
retention period, see Sec. 275.22.)
[[Page 35]]
Sec. 275.183 [Reserved]
Subpart K_Tobacco Products Importers
Source: T.D. ATF-422, 64 FR 71951, Dec. 22, 1999, unless otherwise
noted.
Sec. 275.190 Persons required to qualify.
Any person who engages in the business as an importer of tobacco
products must qualify as an importer of tobacco products in accordance
with the provisions of this part. Any person eligible for the exemption
in Sec. 275.50 is not engaged in the business as an importer of tobacco
products.
Persons importing tobacco products and cigarette papers and tubes
for personal use, in such quantities as may be allowed by Customs
without payment of tax, do not require an importer's permit.
Sec. 275.191 Application for permit.
Except as provided in Sec. 275.192, every person, before commencing
business as an importer of tobacco products as defined in Sec. 275.11,
must make application for, and obtain, the permit provided by this
subpart K. Such application must be made on ATF Form 5230.4, according
to the instructions for the form. All documents required under this part
to be furnished with such application must be made a part thereof.
Sec. 275.192 Transitional rule.
Any person who--
(a) Was engaged in the business as an importer of tobacco products
before January 1, 2000, and
(b) Who files an application with ATF before January 1, 2000, may
continue to import tobacco products and cigarette papers and tubes
pending action on their application by ATF. Pending such final action,
all provisions of chapter 52 of the Internal Revenue Code of 1986 will
apply to such applicant.
Sec. 275.193 Corporate documents.
Every corporation, before commencing business as an importer of
tobacco products, must furnish with its application for permit, required
by Sec. 275.191, a true copy of the corporate charter or a certificate
of corporate existence or incorporation executed by the appropriate
officer of the State in which incorporated. The corporation must
likewise furnish duly authenticated extracts of the stockholders'
meetings, bylaws, or directors' meetings, listing the offices the
incumbents of which are authorized to sign documents or otherwise act in
behalf of the corporation in matters relating to 26 U.S.C. chapter 52,
and regulations issued thereunder. The corporation must also furnish
evidence, in duplicate, of the identity of the officers and directors
and each person who holds more than ten percent of the stock of such
corporation. Where any of the information required by this section has
previously been filed with the appropriate ATF officer, and such
information is currently complete and accurate, a written statement to
that effect, in duplicate, will be sufficient for the purpose of this
section.
Sec. 275.194 Articles of partnership or association.
Every partnership or association, before commencing business as an
importer of tobacco products, must furnish with its application for
permit required by Sec. 275.191 a true copy of the articles of
partnership or association, if any, or certificate of partnership or
association where required to be filed by any State, county, or
municipality. Where a partnership or association has previously filed
such documents with the appropriate ATF officer and such documents are
currently complete and accurate, a written statement, in duplicate, to
that effect by the partnership or association will be sufficient for the
purpose of this section.
Sec. 275.195 Trade name certificate.
Every person, before commencing business under a trade name as an
importer of tobacco products, must furnish with his application for a
permit, required by Sec. 275.191, a true copy of the certificate or
other document, if any, issued by a State, county, or municipal
authority in connection with the transaction of business under such
trade name. If no such true copy of the certificate or other document is
so required, a written statement, in duplicate, to that effect by such
person will
[[Page 36]]
be sufficient for the purpose of this section.
Sec. 275.196 Power of attorney.
If the application for permit or any report, return, notice,
schedule, or other document required to be executed is to be signed by
an individual (including one of the partners for a partnership or one of
the members of an association) as an attorney in fact for any person, or
if an individual is to otherwise officially represent such person, power
of attorney on Form 1534 must be furnished to the appropriate ATF
officer. (For power of attorney in connection with conference and
practice requirements see subpart E, part 70 of this chapter.) Such
power of attorney is not required for persons whose authority is
furnished with the corporate documents as required by Sec. 275.194.
Form 1534 does not have to be filed again with the appropriate ATF
officer if such form has previously been submitted to ATF and is still
in effect.
Sec. 275.197 Additional information.
The appropriate ATF officer may require such additional information
as may be deemed necessary to determine whether the applicant is
entitled to a permit under the provisions of this part. The applicant
must, when required by the appropriate ATF officer, furnish as a part of
his application for such permit such additional information as the
appropriate ATF officer deems necessary to determine whether the
applicant is entitled to a permit.
Sec. 275.198 Investigation of applicant.
Appropriate ATF officers may inquire or investigate to verify the
information in connection with an application for a permit. The
investigation will ascertain whether the applicant is, by reason of his
business experience, financial standing, and trade connections, likely
to maintain operations in compliance with 26 U.S.C. chapter 52, and
regulations thereunder; whether the applicant has disclosed all material
information required, or whether the applicant has made any material
false statement in the application for such permit.
Sec. 275.199 Notice of contemplated disapproval.
If the appropriate ATF officer has reason to believe that the
applicant is not entitled to a permit, the appropriate ATF officer will
promptly give to the applicant a notice of the contemplated disapproval
of the application and opportunity for hearing thereon in accordance
with part 71 of this chapter. If, after such notice and opportunity for
hearing, the appropriate ATF officer finds that the applicant is not
entitled to a permit, an order will be prepared stating the findings on
which the permit request is denied.
[T.D. ATF-422, 64 FR 71951, Dec. 22, 1999, as amended by T.D. ATF-463,
66 FR 42734, Aug. 15, 2001]
Sec. 275.200 Issuance of permit.
If the application for permit, together with the required supporting
documents, is approved, the appropriate ATF officer will issue a permit
on ATF F 5200.24 to the applicant as an importer of tobacco products.
Sec. 275.201 Duration of permit.
(a) Permits other than temporary permits issued under paragraph (b)
of this section will be valid for a period of three years from the
effective date shown on the permit, ATF F 5200.24.
(b) Temporary permits will be issued for a one-year period to those
applicants described in Sec. 275.192.
Sec. 275.202 Renewal of permit.
Importers wishing to continue operations beyond the expiration of
their current permit must renew their permit by making application
within 30 days of such expiration on ATF F 5200.24, in accordance with
instructions for the form. The expiring permit will continue in effect
until final action is taken by ATF on the application for renewal,
provided a timely application for renewal is filed.
Sec. 275.203 Retention of permit and supporting documents.
The importer must retain the permit, together with the copy of the
application and supporting documents returned with the permit, at the
same place where the records required by
[[Page 37]]
this part are kept. The permit and supporting documents must be made
available for inspection by any appropriate ATF officer upon request.
Required Records and Reports
Sec. 275.204 General.
Every tobacco products importer must keep such records and, when
required by this part, submit such reports, of the physical receipt and
disposition of tobacco products. Records and reports will not be
required under this part with respect to tobacco products while in
customs custody.
Sec. 275.205 Recordkeeping requirements.
Any owner, importer, consignee, or their agent who imports, or
knowingly causes to be imported, any tobacco product or cigarette papers
or tubes must make and keep records. A person purchasing a tobacco
product from the importer in a domestic transaction and who does not
knowingly cause merchandise to be imported is not required to make and
keep records unless:
(a) The terms and conditions of the importation are controlled by
the person placing the order with the importer (e.g., the importer is
not an independent contractor but the agent of the person placing the
order).
(b) The tobacco products purchased from the importer include more
than 60,000 cigarettes, in which case the importer and the person
placing the order with the importer must keep the records required by 27
CFR Part 46, Subpart F, Distribution of Cigarettes. Dividing a single
shipment of more than 60,000 cigarettes into smaller components of
60,000 cigarettes or less does not exempt any person from the
recordkeeping requirements of this subpart.
[T.D. ATF-422, 64 FR 71951, Dec. 22, 1999, as amended by T.D. ATF-457,
66 FR 32220, June 14, 2001]
Filing and Retention of Records and Reports
Sec. 275.206 Reports.
(a) Importers must file a monthly report on ATF F 5220.6 in
accordance with the format and instructions for the form.
(b) The first report(s) must be submitted by the 15th day of the
month following the month in which the permit is issued; all previous
months beginning January 1, 2000, must also be reported at that time.
For example:
An importer who is issued a permit with a date of August 17, 2000,
would be required to submit by September 15, 2000, a total of eight
reports for the months January-August, 2000.
(c) Reports with the notation ``No Activity'' must be made for those
months in which no activity occurs.
(d) When a transfer of ownership of the business of an importer of
tobacco products described in Sec. 275.224, or when a change in control
of a corporation described in Sec. 275.226 occurs, a concluding report
with the notation ``Concluding Report'' must be made for the month or
partial month during which the transfer of ownership or change in
control becomes effective.
Sec. 275.207 Filing.
All records and reports required by this part will be maintained
separately, chronologically by transaction or reporting date, at the
importer's place of business. The appropriate ATF officer may, pursuant
to an application, authorize files, or an individual file, to be
maintained at another business location under the control of the
importer, if the alternative location does not cause undue inconvenience
to ATF or Customs officers desiring to examine the files or delay in the
timely transmittal of any documents required to be submitted.
Sec. 275.208 Retention.
(a) All records and reports required by this part, documents or
copies of documents supporting these records or reports, and file copies
of reports required by this part to be submitted to ATF must be retained
for not less than three years following the close of the calendar year
in which filed or made, and during this period must be available for
inspection and copying by ATF during business hours.
(b) Furthermore, the appropriate ATF officer may require these
records to be kept for an additional period of not more than three years
in any case
[[Page 38]]
where it is determined that such record retention is necessary to
protect the revenue. Any records, or copies thereof, containing any of
the information required by this part to be prepared, wherever kept,
must also be made available for inspection and copying.
Subpart L_Changes After Original Qualification of Importers
Source: T.D. ATF-422, 64 FR 71953, Dec. 22, 1999, unless otherwise
noted.
Changes in Name
Sec. 275.220 Change in individual name.
Where there is a change in the name of an individual operating as an
importer of tobacco products, the importer must make application on ATF
Form 5230.5 for an amended permit within 30 days of such change.
Sec. 275.221 Change in trade name.
Where there is a change in, or an addition or discontinuance of, a
trade name used by an importer of tobacco products in connection with
operations authorized by the permit, the importer must make application
on ATF Form 5230.5 for an amended permit to reflect such change within
30 days of such change. The importer must also furnish a true copy of
any new trade name certificate or document issued to the business, or
statement in lieu thereof, required by Sec. 275.195.
Sec. 275.222 Change in corporate name.
Where there is a change in the corporate name of an importer of
tobacco products, the importer must make application on ATF Form 5230.5
for an amended permit within 30 days of such change. The importer must
also furnish such documents as may be necessary to establish that the
corporate name has been changed.
Changes in Ownership and Control
Sec. 275.223 Fiduciary successor.
If an administrator, executor, receiver, trustee, assignee, or other
fiduciary, is to take over the business of an importer of tobacco
products, as a continuing operation, such fiduciary must make
application for permit, before commencing operations as required by
subpart K of this part, furnish certified copies, in duplicate, of the
order of the court, or other pertinent documents, showing his
appointment and qualification as such fiduciary. However, where a
fiduciary intends only to liquidate the business, qualification as an
importer of tobacco products will not be required if the fiduciary
promptly files with the appropriate ATF officer a written statement to
that effect.
Sec. 275.224 Transfer of ownership.
If a transfer is to be made in ownership of the business of an
importer of tobacco products (including a change of any member of a
partnership or association), such importer must give notice, in writing,
to the appropriate ATF officer, naming the proposed successor and the
desired effective date of such transfer. The proposed successor must
qualify as an importer of tobacco products, before commencing
operations, in accordance with the applicable provisions of subpart K of
this part. The importer must give such notice of transfer, and the
proposed successor must make application for permit in ample time for
examination and approval thereof before the desired date of such change.
The predecessor must make a concluding report, in accordance with the
provisions of Sec. 275.205, and surrender the permit with such report.
The successor must make a commencing report, in accordance with the
provisions of Sec. 275.206.
Sec. 275.225 Change in officers, directors, or stockholders of a
corporation.
Upon election or appointment (excluding successive reelection or
reappointment) of any officer or director of a corporation operating the
business of an importer of tobacco products, or upon any occurrence
which results in a person acquiring ownership or control of more than
ten percent in aggregate of the outstanding stock of such corporation,
the importer must, within 30 days of such action, so notify the
appropriate ATF officer in writing, giving the identity of such person.
In the event that the acquisition of ten or
[[Page 39]]
more percent in aggregate of the outstanding stock of such corporation
results in a change of control of such corporation, the provisions of
Sec. 275.226 will apply. When there is any change in the authority
furnished under Sec. 275.196 for officers to act on behalf of the
corporation the importer must immediately so notify the appropriate ATF
officer in writing.
Sec. 275.226 Change in control of a corporation.
Where the issuance, sale, or transfer of the stock of a corporation
operating as an importer of tobacco products results in a change in the
identity of the principal stockholders exercising actual or legal
control of the operations of the corporation, the corporate importer
must make application on ATF Form 5230.4 for a new permit within 30 days
after the change occurs. Otherwise, the present permit will be
automatically terminated at the expiration of such 30-day period, and
the importer will dispose of all tobacco products on hand, in accordance
with this part, make a concluding report, in accordance with the
provisions of Sec. 275.206, and surrender his permit with such report.
If the application for a new permit is timely made, the present permit
will continue in effect pending final action with respect to such
application.
Changes in Location or Address
Sec. 275.227 Change in location.
Whenever an importer of tobacco products intends to relocate the
principal business office, the importer must, before commencing
operations at the new location, make application on ATF Form 5230.5 for,
and obtain, an amended permit.
Sec. 275. 228 Change in address.
Whenever any change occurs in the address, but not the location, of
the principal business office of an importer of tobacco products, as a
result of action of local authorities, the importer must make
application on ATF Form 5230.5 for an amended permit within 30 days of
such change.
PART 285 [RESERVED]
[[Page 41]]
CHAPTER II--BUREAU OF ALCOHOL, TOBACCO, FIREARMS, AND EXPLOSIVES,
DEPARTMENT OF JUSTICE
--------------------------------------------------------------------
SUBCHAPTER A [RESERVED]
SUBCHAPTER B--FIREARMS AND AMMUNITION
Part Page
447 Importation of arms, ammunition and
implements of war....................... 42
478 Commerce in firearms and ammunition......... 55
479 Machine guns, destructive devices, and
certain other firearms.................. 123
SUBCHAPTER C--EXPLOSIVES
555 Commerce in Explosives...................... 152
SUBCHAPTER D--MISCELLANEOUS REGULATIONS RELATING TO ALCOHOL AND TOBACCO
646 Contraband cigarettes....................... 213
[[Page 43]]
SUBCHAPTER A [RESERVED]
SUBCHAPTER B_FIREARMS AND AMMUNITION
PART 447_IMPORTATION OF ARMS, AMMUNITION AND IMPLEMENTS OF WAR--Table of Contents
Subpart A_Scope
Sec.
447.1 General.
447.2 Relation to other laws and regulations.
Subpart B_Definitions
447.11 Meaning of terms.
Subpart C_The U.S. Munitions Import List
447.21 The U.S. Munitions Import List.
447.22 Forgings, castings, and machined bodies.
Subpart D_Registration
447.31 Registration requirement.
447.32 Application for registration and refund of fee.
447.33 Notification of changes in information furnished by registrants.
447.34 Maintenance of records by persons required to register as
importers of Import List articles.
447.35 Forms prescribed.
Subpart E_Permits
447.41 Permit requirement.
447.42 Application for permit.
447.43 Terms of permit.
447.44 Permit denial, revocation or suspension.
447.45 Importation.
447.46 Articles in transit.
Subpart F_Miscellaneous Provisions
447.51 Import certification and delivery verification.
447.52 Import restrictions applicable to certain countries.
447.53 Exemptions.
447.54 Administrative procedures inapplicable.
447.55 Departments of State and Defense consulted.
447.56 Authority of Customs officers.
447.57 U.S. military defense articles.
447.58 Delegations of the Director.
Subpart G_Penalties, Seizures and Forfeitures
447.61 Unlawful importation.
447.62 False statements or concealment of facts.
447.63 Seizure and forfeiture.
Authority: 22 U.S.C. 2778.
Source: T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, unless otherwise
noted. Redesignated by T.D. ATF-487, 68 FR 3747, Jan. 24, 2003.
Editorial Note: Nomenclature changes to part 447 appear at 68 FR
3748, Jan. 24, 2003.
Subpart A_Scope
Sec. 447.1 General.
The regulations in this part relate to that portion of Section 38,
Arms Export Control Act of 1976, as amended, which is concerned with the
importation of arms, ammunition and implements of war. This part
contains the U.S. Munitions Import List and includes procedural and
administrative requirements and provisions relating to registration of
importers, permits, articles in transit, import certification, delivery
verification, import restrictions applicable to certain countries,
exemptions, U.S. military firearms or ammunition, penalties, seizures,
and forfeitures. All designations and changes in designation of articles
subject to import control under Section 414 of the Mutual Security Act
of 1954, as amended, have the concurrence of the Secretary of State and
the Secretary of Defense.
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-215, 50
FR 42158, Oct. 18, 1985]
Sec. 447.2 Relation to other laws and regulations.
(a) All of those items on the U.S. Munitions Import List (see Sec.
447.21) which are ``firearms'' or ``ammunition'' as defined in 18 U.S.C.
921(a) are subject to the interstate and foreign commerce controls
contained in Chapter 44 of Title 18 U.S.C. and 27 CFR Part 478 and if
they are ``firearms'' within the definition set out in 26 U.S.C. 5845(a)
are also subject to the provisions of 27 CFR Part 479. Any person
engaged in the business of importing firearms or ammunition as defined
in 18 U.S.C. 921(a)
[[Page 44]]
must obtain a license under the provisions of 27 CFR Part 478, and if he
imports firearms which fall within the definition of 26 U.S.C. 5845(a)
must also register and pay special tax pursuant to the provisions of 27
CFR Part 479. Such licensing, registration and special tax requirements
are in addition to registration under subpart D of this part.
(b) The permit procedures of subpart E of this part are applicable
to all importations of articles on the U.S. Munitions Import List not
subject to controls under 27 CFR Part 478 or 479. U.S. Munitions Import
List articles subject to controls under 27 CFR Part 478 or 27 CFR Part
479 are subject to the import permit procedures of those regulations if
imported into the United States (within the meaning of 27 CFR Parts 478
and 479).
(c) Articles on the U.S. Munitions Import List imported for the
United States or any State or political subdivision thereof are exempt
from the import controls of 27 CFR Part 478 but are not exempt from
control under Section 38, Arms Export Control Act of 1976, unless
imported by the United States or any agency thereof. All such
importations not imported by the United States or any agency thereof
shall be subject to the import permit procedures of subpart E of this
part.
(d) For provisions requiring the registration of persons engaged in
the business of brokering activities with respect to the importation of
any defense article or defense service, see Department of State
regulations in 22 CFR part 129.
[T.D. ATF-215, 50 FR 42158, Oct. 18, 1985, as amended by T.D. ATF-426,
65 FR 38197, June 20, 2000]
Subpart B_Definitions
Sec. 447.11 Meaning of terms.
When used in this part and in forms prescribed under this part,
where not otherwise distinctly expressed or manifestly incompatible with
the intent thereof, terms shall have the meanings ascribed in this
section. Words in the plural form shall include the singular, and vice
versa, and words imparting the masculine gender shall include the
feminine. The terms ``includes'' and ``including'' do not exclude other
things not enumerated which are in the same general class or are
otherwise within the scope thereof.
Appropriate ATF officer. An officer or employee of the Bureau of
Alcohol, Tobacco and Firearms (ATF) specified by ATF Order 1130.34,
Delegation of the Director's Authorities in 27 CFR Part 447, Importation
of Arms, Ammunition and Implements of War.
Article. Any of the arms, ammunition, and implements of war
enumerated in the U.S. Munitions Import List.
Bureau. Bureau of Alcohol, Tobacco and Firearms, the Department of
the Treasury.
Carbine. A short-barrelled rifle whose barrel is generally not
longer than 22 inches and is characterized by light weight.
CFR. The Code of Federal Regulations.
Chemical agent. A substance useful in war which, by its ordinary and
direct chemical action, produces a powerful physiological effect.
Defense articles. Any item designated in Sec. 447.21 or Sec.
447.22. This term includes models, mockups, and other such items which
reveal technical data directly relating to Sec. 447.21 or Sec. 447.22.
For purposes of Category XXII, any item enumerated on the U.S. Munitions
List (22 CFR Part 121).
Defense services. (a) The furnishing of assistance, including
training, to foreign persons in the design, engineering, development,
production, processing, manufacture, use, operation, overhaul, repair,
maintenance, modification, or reconstruction of defense articles,
whether in the United States or abroad; or
(b) The furnishing to foreign persons of any technical data, whether
in the United States or abroad.
Director. The Director, Bureau of Alcohol, Tobacco and Firearms, the
Department of the Treasury, Washington, DC 20226.
Executed under the penalties of perjury. Signed with the prescribed
declaration under the penalties of perjury as provided on or with
respect to the application, form, or other document or, where no form of
declaration is prescribed, with the declaration: ``I declare under the
penalties of perjury that this
[[Page 45]]
---- (insert type of document such as statement, certificate,
application, or other document), including the documents submitted in
support thereof, has been examined by me and, to best of my knowledge
and belief, is true, correct, and complete.''
Firearms. A weapon, and all components and parts therefor, not over
.50 caliber which will or is designed to or may be readily converted to
expel a projectile by the action of an explosive, but shall not include
BB and pellet guns, and muzzle loading (black powder) firearms
(including any firearm with a matchlock, flintlock, percussion cap, or
similar type of ignition system) or firearms covered by Category I(a)
established to have been manufactured in or before 1898.
Import or importation. Bringing into the United States from a
foreign country any of the articles on the Import List, but shall not
include intransit, temporary import or temporary export transactions
subject to Department of State controls under Title 22, Code of Federal
Regulations.
Import List. The list of articles contained in Sec. 447.21 and
identified therein as ``The U.S. Munitions Import List''.
Machinegun. A ``machinegun'', ``machine pistol'', ``submachinegun'',
or ``automatic rifle'' is a firearm originally designed to fire, or
capable of being fired fully automatically by a single pull of the
trigger.
Permit. The same as ``license'' for purposes of 22 U.S.C. 1934(c).
Person. A partnership, company, association, or corporation, as well
as a natural person.
Pistol. A hand-operated firearm having a chamber integral with, or
permanently aligned with, the bore.
Revolver. A hand-operated firearm with a revolving cylinder
containing chambers for individual cartridges.
Rifle. A shoulder firearm discharging bullets through a rifled
barrel at least 16 inches in length, including combination and drilling
guns.
Sporting type sight including optical. A telescopic sight suitable
for daylight use on a rifle, shotgun, pistol, or revolver for hunting or
target shooting.
This chapter. Title 27, Code of Federal Regulations, Chapter II (27
CFR Chapter II).
United States. When used in the geographical sense, includes the
several States, the Commonwealth of Puerto Rico, the insular possessions
of the United States, the District of Columbia, and any territory over
which the United States exercises any powers of administration,
legislation, and jurisdiction.
(26 U.S.C. 7805 (68A Stat. 917), 27 U.S.C. 205 (49 Stat. 981 as
amended), 18 U.S.C. 926 (82 Stat. 959), and sec. 38, Arms Export Control
Act (22 U.S.C. 2778, 90 Stat. 744))
[T.D. ATF-48, 43 FR 13535, Mar. 31, 1978; 44 FR 55840, Sept. 28, 1979,
as amended by T.D. ATF-202, 50 FR 14382, Apr. 12, 1985; T.D. ATF-215, 50
FR 42158, Oct. 18, 1985; T.D. ATF-484, 67 FR 64526, Oct. 21, 2002]
Subpart C_The U.S. Munitions Import List
Sec. 447.21 The U.S. Munitions Import List.
The U.S. Munitions List compiled by the Department of State, Office
of Defense Trade Controls, and published at 22 CFR 121.1, with the
deletions indicated, has been adopted as an enumeration of the defense
articles subject to controls under this part. The expurgated list, set
out below, shall, for the purposes of this part, be known as the U.S.
Munitions Import List:
The U.S. Munitions Import List
category i--firearms
(a) Nonautomatic and semiautomatic firearms, to caliber .50
inclusive, combat shotguns, and shotguns with barrels less than 18
inches in length, and all components and parts for such firearms.
(b) Automatic firearms and all components and parts for such
firearms to caliber .50 inclusive.
(c) Insurgency-counterinsurgency type firearms of other weapons
having a special military application (e.g. close assault weapons
systems) regardless of caliber and all components and parts for such
firearms.
(d) Firearms silencers and suppressors, including flash suppressors.
(e) Riflescopes manufactured to military specifications and
specifically designed or modified components therefor.
Note: Rifles, carbines, revolvers, and pistols, to caliber .50
inclusive, combat shotguns, and shotguns with barrels less than 18
inches in length are included under Category I(a). Machineguns,
submachineguns, machine
[[Page 46]]
pistols and fully automatic rifles to caliber .50 inclusive are included
under Category I(b).
category ii--artillery projectors
(a) Guns over caliber .50, howitzers, mortars, and recoiless rifles.
(b) Military flamethrowers and projectors.
(c) Components, parts, accessories, and attachments for the articles
in paragraphs (a) and (b) of this category, including but not limited to
mounts and carriages for these articles.
category iii--ammunition
(a) Ammunition for the arms in Categories I and II of this section.
(b) Components, parts, accessories, and attachments for articles in
paragraph (a) of this category, including but not limited to cartridge
cases, powder bags, bullets, jackets, cores, shells (excluding shotgun
shells), projectiles, boosters, fuzes and components therefor, primers,
and other detonating devices for such ammunition.
(c) Ammunition belting and linking machines.
(d) Ammunition manufacturing machines and ammunition loading
machines (except handloading ones).
Note: Cartridge and shell casings are included under Category III
unless, prior to their importation, they have been rendered useless
beyond the possibility of restoration for use as a cartridge or shell
casing by means of heating, flame treatment, mangling, crushing,
cutting, or popping.
category iv--launch vehicles, guided missiles, ballistic missiles,
rockets, torpedoes, bombs and mines
(a) Rockets (including but not limited to meteorological and other
sounding rockets), bombs, grenades, torpedoes, depth charges, land and
naval mines, as well as launchers for such defense articles, and
demolition blocks and blasting caps.
(b) Launch vehicles and missile and anti-missile systems including
but not limited to guided, tactical and strategic missiles, launchers,
and systems.
(c) Apparatus, devices, and materials for the handling, control,
activation, monitoring, detection, protection, discharge, or detonation
of the articles in paragraphs (a) and (b) of this category. Articles in
this category include, but are not limited to, the following: Fuses and
components for the items in this category, bomb racks and shackles, bomb
shackle release units, bomb ejectors, torpedo tubes, torpedo and guided
missile boosters, guidance system equipment and parts, launching racks
and projectors, pistols (exploders), igniters, fuze arming devices,
intervalometers, guided missile launchers and specialized handling
equipment, and hardened missile launching facilities.
(d) Missile and space vehicle powerplants.
(e) Military explosive excavating devices.
(f) Ablative materials fabricated or semifabricated from advanced
composites (e.g., silica, graphite, carbon, carbon/carbon, and boron
filaments) for the articles in this category that are derived directly
from or specifically developed or modified for defense articles.
(g) Non/nuclear warheads for rockets and guided missiles.
(h) All specifically designed components or modified components,
parts, accessories, attachments, and associated equipment for the
articles in this category.
Note: Military demolition blocks and blasting caps referred to in
Category IV(a) do not include the following articles:
(a) Electric squibs.
(b) No. 6 and No. 8 blasting caps, including electric ones.
(c) Delay electric blasting caps (including No. 6 and No. 8
millisecond ones).
(d) Seismograph electric blasting caps (including SSS, Static-
Master, Vibrocap SR, and SEISMO SR).
(e) Oil well perforating devices.
Note: Category V of ``Munitions List'' deleted as inapplicable to
imports.
category vi--vessels of war and special naval equipment
(a) Warships, amphibious warfare vessels, landing craft, mine
warfare vessels, patrol vessels, auxiliary vessels and service craft,
experimental types of naval ships and any vessels specifically designed
or modified for military purposes.
(b) Turrets and gun mounts, arresting gear, special weapons systems,
protective systems, submarine storage batteries, catapults and other
components, parts, attachments, and accessories specifically designed or
modified for combatant vessels.
(c) Mine sweeping equipment, components, parts, attachments and
accessories specifically designed or modified therefor.
(d) Harbor entrance detection devices (magnetic, pressure, and
acoustic ones) and controls and components therefor.
(e) Naval nuclear propulsion plants, their land prototypes and
special facilities for their construction, support and maintenance. This
includes any machinery, device, component, or equipment specifically
developed or designed or modified for use in such plants or facilities.
Note: The term ``vessels of war'' includes, but is not limited to
the following:
(a) Combatant vessels:
(1) Warships (including nuclear-powered versions):
(i) Aircraft carriers (CV, CVN)
(ii) Battleships (BB)
[[Page 47]]
(iii) Cruisers (CA, CG, CGN)
(iv) Destroyers (DD, DDG)
(v) Frigates (FF, FFG)
(vi) Submarines (SS, SSN, SSBN, SSG, SSAG).
(2) Other Combatant Classifications:
(i) Patrol Combatants (PC, PHM)
(ii) Amphibious Helicopter/Landing Craft Carriers (LHA, LPD, LPH)
(iii) Amphibious Landing Craft Carriers (LKA, LPA, LSD, LST)
(iv) Amphibious Command Ships (LCC)
(v) Mine Warfare Ships (MSO).
(b) Auxiliaries:
(1) Mobile Logistics Support:
(i) Under way Replenishment (AD, AF, AFS, AO, AOE, AOR)
(ii) Material Support (AD, AR, AS).
(2) Support Ships:
(i) Fleet Support Ships (ARS, ASR, ATA, ATF, ATS)
(ii) Other Auxiliaries (AG, AGDS, AGF, AGM, AGOR, AGOS, AGS, AH, AK,
AKR, AOG, AOT, AP, APB, ARC, ARL, AVM, AVT).
(c) Combatant Craft:
(1) Patrol Craft:
(i) Coastal Patrol Combatants (PB, PCF, PCH, PTF)
(ii) River, Roadstead Craft (ATC, PBR).
(2) Amphibious Warfare Craft:
(i) Landing Craft (AALC, LCAC, LCM, LCPL, LCPR, LCU, LWT, SLWT)
(ii) Special Warfare Craft (LSSC, MSSC, SDV, SWCL, SWCM).
(3) Mine Warfare Craft:
(i) Mine Countermeasures Craft (MSB, MSD, MSI, MSM, MSR).
(d) Support and Service Craft:
(1) Tugs (YTB, YTL, YTM)
(2) Tankers (YO, YOG, YW)
(3) Lighters (YC, YCF, YCV, YF, YFN, YFNB, YFNX, YFR, YFRN, YFU, YG,
YGN, YOGN, YON, YOS, YSR, YWN)
(4) Floating Dry Docks (AFDB, AFDL, AFDM, ARD, ARDM, YFD)
(5) Miscellaneous (APL, DSRV, DSV, IX, NR, YAG, YD, YDT, YFB, YFND,
YEP, YFRT, YHLC, YM, YNG, YP, YPD, YR, YRB, YRBN, YRDH, YRDM, YRR, YRST,
YSD).
(e) Coast Guard Patrol and Service Vessels and Craft:
(1) Coast Guard Cutters (CGC, WHEC, WMEC)
(2) Patrol Craft (WPB)
(3) Icebreakers (WAGB)
(4) Oceanography Vessels (WAGO)
(5) Special Vessels (WIX)
(6) Buoy Tenders (WLB, WLM, WLI, WLR, WLIC)
(7) Tugs (WYTM, WYTL)
(8) Light Ships (WLV).
category vii--tanks and military vehicles
(a) Military type armed or armored vehicles, military railway
trains, and vehicles specifically designed or modified to accommodate
mountings for arms or other specialized military equipment or fitted
with such items.
(b) Military tanks, combat engineer vehicles, bridge launching
vehicles, halftracks and gun carriers.
(c) Self-propelled guns and howitzers.
Note: Category VII (d) and (e) of ``Munitions List'' deleted as
inapplicable to imports.
(f) Amphibious vehicles.
(g) Engines specifically designed or modified for the vehicles in
paragraphs (a), (b), (c), and (f) of this category.
(h) All specifically designed or modified components and parts,
accessories, attachments, and associated equipment for the articles in
this category, including but not limited to military bridging and deep
water fording kits.
Note: An ``amphibious vehicle'' in Category VII(f) is an automotive
vehicle or chassis which embodies all-wheel drive, which is equipped to
meet special military requirements, and which has sealed electrical
systems and adaptation features for deep water fording.
category viii--aircraft, spacecraft, and associated equipment
(a) Aircraft, including but not limited to helicopters, non-
expansive balloons, drones and lighter-than-air aircraft, which are
specifically designed, modified, or equipped for military purposes. This
includes but is not limited to the following military purposes: gunnery,
bombing, rocket or missile launching, electronic and other surveillance,
reconnaissance, refueling, aerial mapping, military liaison, cargo
carrying or dropping, personnel dropping, airborne warning and control,
and military training.
Note: Category VIII (b) through (j) and Categories IX, X, XI, XII
and XIII of ``Munitions List'' deleted as inapplicable to imports.
Note: In Category VIII, ``aircraft'' means aircraft designed,
modified, or equipped for a military purpose, including aircraft
described as ``demilitarized.'' All aircraft bearing an original
military designation are included in Category VIII. However, the
following aircraft are not so included so long as they have not been
specifically equipped, reequipped, or modified for military operations:
(a) Cargo aircraft bearing ``C'' designations and numbered C-45
through C-118 inclusive, and C-121 through C-125 inclusive, and C-131,
using reciprocating engines only.
(b) Trainer aircraft bearing ``T'' designations and using
reciprocating engines or turboprop engines with less than 600 horsepower
(s.h.p.).
(c) Utility aircraft bearing ``U'' designations and using
reciprocating engines only.
[[Page 48]]
(d) All liaison aircraft bearing an ``L'' designation.
(e) All observation aircraft bearing ``O'' designations and using
reciprocating engines.
category xiv--toxicological agents and equipment and radiological
equipment
(a) Chemical agents, including but not limited to lung irritants,
vesicants, lachrymators, and tear gases (except tear gas formulations
containing 1% or less CN or CS), sternutators and irritant smoke, and
nerve gases and incapacitating agents.
(b) Biological agents.
(c) Equipment for dissemination, detection, and identification of,
and defense against, the articles in paragraphs (a) and (b) of this
category.
(d) Nuclear radiation detection and measuring devices manufactured
to military specification.
(e) Components, parts, accessories, attachments, and associated
equipment specifically designed or modified for the articles in
paragraphs (c) and (d) of this category.
Note: A chemical agent in Category XIV(a) is a substance having
military application which by its ordinary and direct chemical action
produces a powerful physiological effect. The term ``chemical agent''
includes, but is not limited to, the following chemical compounds:
(a) Lung irritants:
(1) Diphenylcyanoarsine (DC).
(2) Fluorine (but not fluorene).
(3) Trichloronitro methane (chloropicrin PS).
(b) Vesicants:
(1) B-Chlorovinyldichloroarsine (Lewisite, L).
(2) Bis(dichlorethyl) sulphide (Mustard Gas, HD or H).
(3) Ethyldichloroarsine (ED).
(4) Methyldichloroarsine (MD).
(c) Lachrymators and tear gases:
(1) A-Brombenzyl cyanide (BBC).
(2) Chloroacetophenone (CN).
(3) Dibromodimethyl ether.
(4) Dichlorodimethyl ether (ClCi).
(5) Ethyldibromoarsine.
(6) Phenylcarbylamine chloride.
(7) Tear gas solutions (CNB and CNS).
(8) Tear gas orthochlorobenzalmalononitrile (CS).
(d) Sternutators and irritant smokes:
(1) Diphenylamine chloroarsine (Adamsite, DM).
(2) Diphenylchloroarsine (BA).
(3) Liquid pepper.
(e) Nerve agents, gases, and aerosols. These are toxic compounds
which affect the nervous system, such as:
(1) Dimethylaminoethoxycyanophosphine oxide (GA).
(2) Methylisopropoxyfluorophosphine oxide (GB).
(3) Methylpinacolyloxyfluoriphosphine oxide (GD).
(f) Antiplant chemicals, such as: Butyl 2-chloro-4-
fluorophenoxyacetate (LNF).
category xv [Reserved]
category xvi--nuclear weapons design and test equipment
(a) Any article, material, equipment, or device, which is
specifically designed or modified for use in the design, development, or
fabrication of nuclear weapons or nuclear explosive devices.
(b) Any article, material, equipment, or device, which is
specifically designed or modified for use in the devising, carrying out,
or evaluating of nuclear weapons tests or any other nuclear explosions,
except such items as are in normal commercial use for other purposes.
Note: Categories XVII, XVIII, and XIX of ``Munitions List'' deleted
as inapplicable to imports.
category xx--submersible vessels, oceanographic and associated equipment
(a) Submersible vessels, manned and unmanned, designed or modified
for military purposes or having independent capability to maneuver
vertically or horizontally at depths below 1,000 feet, or powered by
nuclear propulsion plants.
(b) Submersible vessels, manned or unmanned, designed or modified in
whole or in part from technology developed by or for the U.S. Armed
Forces.
(c) Any of the articles in Category VI and elsewhere in this part
specifically designed or modified for use with submersible vessels, and
oceanographic or associated equipment assigned a military designation.
(d) Equipment, components, parts, accessories, and attachments
specifically designed for any of the articles in paragraphs (a) and (b)
of this category.
category xxi--miscellaneous articles
Any article not specifically enumerated in the other categories of
the U.S. Munitions List which has substantial military applicability and
which has been specifically designed or modified for military purposes.
The decision on whether any article may be included in this category
shall be made by the Director, Office of Defense Trade Controls,
Department of State, with the concurrence of the Department of Defense.
category xxii--south africa
(a) Defense articles enumerated on the U.S. Munitions List (22 CFR
Part 121).
(b) Technical data relating to defense articles enumerated on the
U.S. Munitions List.
Note: This category is applicable only to South Africa.
[[Page 49]]
Note: ``Technical data'' means, for purposes of this category:
(1) Classified information relating to defense articles and defense
services;
(2) Information covered by an invention secrecy order;
(3) Information which is directly related to the design,
engineering, development, production, processing, manufacture, use,
operation, overhaul, repair, maintenance, modification, or
reconstruction of defense articles. This includes, for example,
information in the form of blueprints, drawings, photographs, plans,
instructions, computer software and documentation. This also includes
information which advances the state of the art of articles on the U.S.
Munitions List. This does not include information concerning general
scientific, mathematical or engineering principles.
[T.D. ATF-215, 50 FR 42158, Oct. 18, 1985; 50 FR 46647, Nov. 12, 1985,
as amended by T.D. ATF-426, 65 FR 38197, June 20, 2000]
Sec. 447.22 Forgings, castings, and machined bodies.
Articles on the U.S. Munitions Import List include articles in a
partially completed state (such as forgings, castings, extrusions, and
machined bodies) which have reached a stage in manufacture where they
are clearly identifiable as defense articles. If the end-item is an
article on the U.S. Munitions Import List, (including components,
accessories, attachments and parts) then the particular forging,
casting, extrusion, machined body, etc., is considered a defense article
subject to the controls of this part, except for such items as are in
normal commercial use.
[T.D. ATF-215, 50 FR 42160, Oct. 18, 1985]
Subpart D_Registration
Sec. 447.31 Registration requirement.
Persons engaged in the business, in the United States, of importing
articles enumerated on the U.S. Munitions Import List must register by
making an application on ATF Form 4587.
[T.D. ATF-484, 67 FR 64526, Oct. 21, 2002]
Sec. 447.32 Application for registration and refund of fee.
(a) Application for registration must be filed on ATF Form 4587 and
must be accompanied by the registration fee at the rate prescribed in
this section. The appropriate ATF officer will approve the application
and return the original to the applicant.
(b) Registration may be effected for periods of from 1 to 5 years at
the option of the registrant by identifying on Form 4587 the period of
registration desired. The registration fees are as follows:
1 year.......................................................... $250
2 years......................................................... 500
3 years......................................................... 700
4 years......................................................... 850
5 years......................................................... 1,000
(c) Fees paid in advance for whole future years of a multiple year
registration will be refunded upon request if the registrant ceases to
engage in importing articles on the U.S. Munitions Import List. A
request for a refund must be submitted to the appropriate ATF officer at
the Bureau of Alcohol, Tobacco and Firearms, Washington, DC 20226, prior
to the beginning of any year for which a refund is claimed.
(Approved by the Office of Management and Budget under control number
1512-0021)
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-215, 50
FR 42161, Oct. 18, 1985; T.D. ATF-484, 67 FR 64526, Oct. 21, 2002]
Sec. 447.33 Notification of changes in information furnished by
registrants.
Registered persons shall notify the appropriate ATF officer in
writing, in duplicate, of significant changes in the information set
forth in their registration
(Approved by the Office of Management and Budget under control number
1512-0021)
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-215, 50
FR 42161, Oct. 18, 1985]
Sec. 447.34 Maintenance of records by persons required to register as
importers of Import List articles.
(a) Registrants under this part engaged in the business of importing
articles subject to controls under 27 CFR Parts 478 and 479 shall
maintain records in accordance with the applicable provisions of those
parts.
(b) Registrants under this part engaged in importing articles on the
U.S. Munitions Import List subject to the permit procedures of subpart E
of this part must maintain for a period of 6
[[Page 50]]
years records bearing on such articles imported, including records
concerning their acquisition and disposition, including Forms 6 and 6A.
The appropriate ATF officer may prescribe a longer or shorter period in
individual cases as such officer deems necessary. See Sec. 478.129 of
this chapter for articles subject to import control under part 478 of
this chapter.
(Approved by the Office of Management and Budget under control number
1512-0387)
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-172, 49
FR 14941, Apr. 16, 1984; T.D. ATF-215, 50 FR 42161, Oct. 18, 1985; T.D.
ATF-426, 65 FR 38197, June 20, 2000; T.D. ATF-484, 67 FR 64526, Oct. 21,
2002]
Sec. 447.35 Forms prescribed.
(a) The appropriate ATF officer is authorized to prescribe all forms
required by this part. All of the information called for in each form
shall be furnished as indicated by the headings on the form and the
instructions on or pertaining to the form. In addition, information
called for in each form shall be furnished as required by this part. The
form will be filed in accordance with the instructions for the form.
(b) Forms may be requested from the ATF Distribution Center, P.O.
Box 5950, Springfield, Virginia 22150-5950, or by accessing the ATF Web
site http://www.atf.treas.gov/.
[T.D. ATF-92, 46 FR 46914, Sept. 23, 1981, as amended by T.D. ATF-249,
52 FR 5961, Feb. 27, 1987; T.D. ATF-426, 65 FR 38197, June 20, 2000;
T.D. ATF-484, 67 FR 64526, Oct. 21, 2002]
Subpart E_Permits
Sec. 447.41 Permit requirement.
(a) Articles on the U.S. Munitions Import List will not be imported
into the United States except pursuant to a permit under this subpart.
For articles subject to control under parts 478 or 479 of this chapter,
a separate permit is not necessary.
(b) Articles on the U.S. Munitions Import List intended for the
United States or any State or political subdivision thereof, or the
District of Columbia, which are exempt from import controls of 27 CFR
478.115 shall not be imported into the United States, except by the
United States or agency thereof, without first obtaining a permit under
this subpart.
(c) A permit is not required for the importation of--
(1)(i) The U.S. Munitions Import List articles from Canada, except
articles enumerated in Categories I, II, III, IV, VI(e), VIII(a), XVI,
and XX; and
(ii) Nuclear weapons strategic delivery systems and all specifically
designed components, parts, accessories, attachments, and associated
equipment thereof (see Category XXI); or
(2) Minor components and parts for Category I(a) and I(b) firearms,
except barrels, cylinders, receivers (frames) or complete breech
mechanisms, when the total value does not exceed $100 wholesale in any
single transaction.
[T.D. ATF-215, 50 FR 42161, Oct. 18, 1985, as amended by T.D. ATF-426,
65 FR 38197, June 20, 2000; T.D. ATF-484, 67 FR 64526, Oct. 21, 2002]
Sec. 447.42 Application for permit.
(a)(1) Persons required to obtain a permit as provided in Sec.
447.41 must file a Form 6--Part I. The application must be signed and
dated and must contain the information requested on the form, including:
(i) The name, address, telephone number, license and registration
number, if any (including expiration date) of the importer;
(ii) The country from which the defense article is to be imported;
(iii) The name and address of the foreign seller and foreign
shipper;
(iv) A description of the defense article to be imported,
including--
(A) The name and address of the manufacturer;
(B) The type (e.g., rifle, shotgun, pistol, revolver, aircraft,
vessel, and in the case of ammunition only, ball, wadcutter, shot,
etc.);
(C) The caliber, gauge, or size;
(D) The model;
(E) The length of barrel, if any (in inches);
(F) The overall length, if a firearm (in inches);
(G) The serial number, if known;
(H) Whether the defense article is new or used;
(I) The quantity;
[[Page 51]]
(J) The unit cost of the firearm, firearm barrel, ammunition, or
other defense article to be imported;
(K) The category of U.S. Munitions Import List under which the
article is regulated;
(v) The specific purpose of importation, including final recipient
information if different from the importer; and
(vi) Certification of origin.
(2)(i) If the appropriate ATF officer approves the application, such
approved application will serve as the permit to import the defense
article described therein, and importation of such defense article may
continue to be made by the licensed/registered importer (if applicable)
under the approved application (permit) during the period specified
thereon. The appropriate ATF officer will furnish the approved
application (permit) to the applicant and retain two copies thereof for
administrative use.
(ii) If the Director disapproves the application, the licensed/
registered importer (if applicable) will be notified of the basis for
the disapproval.
(b) For additional requirements relating to the importation of
plastic explosives into the United States on or after April 24, 1997,
see Sec. 555.183 of this title.
(Approved by the Office of Management and Budget under control number
1512-0017)
[T.D. ATF-215, 50 FR 42161, Oct. 18, 1985, as amended by T.D. ATF-387,
62 FR 8376, Feb. 25, 1997; T.D. ATF-426, 65 FR 38197, June 20, 2000;T.D.
ATF-484, 67 FR 64526, Oct. 21, 2002]
Sec. 447.43 Terms of permit.
(a) Import permits issued under this subpart are valid for one year
from their issuance date unless a different period of validity is stated
thereon. They are not transferable.
(b) If shipment cannot be completed during the period of validity of
the permit, another application must be submitted for permit to cover
the unshipped balance. Such an application shall make reference to the
previous permit and may include materials in addition to the unshipped
balance.
(c) No amendments or alteration of a permit may be made, except by
the appropriate ATF officer.
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-325, 57
FR 29787, July 7, 1992; T.D. ATF-426, 65 FR 38197, June 20, 2000]
Sec. 447.44 Permit denial, revocation or suspension.
(a) Import permits under this subpart may be denied, revoked,
suspended or revised without prior notice whenever the appropriate ATF
officer finds the proposed importation to be inconsistent with the
purpose or in violation of section 38, Arms Export Control Act of 1976
or the regulations in this part.
(b) Whenever, after appropriate consideration, a permit application
is denied or an outstanding permit is revoked, suspended, or revised,
the applicant or permittee shall be promptly advised in writing of the
appropriate ATF officer's decision and the reasons therefor.
(c) Upon written request made within 30 days after receipt of an
adverse decision, the applicant or permittee shall be accorded an
opportunity to present additional information and to have a full review
of his case by the appropriate ATF officer.
(d) Unused, expired, suspended, or revoked permits must be returned
immediately to the appropriate ATF officer.
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-215, 50
FR 42161, Oct. 18, 1985]
Sec. 447.45 Importation.
(a) Articles subject to the import permit procedures of this subpart
imported into the United States may be released from Customs custody to
the person authorized to import same upon his showing that he has a
permit for the importation of the article or articles to be released.
For articles in Categories I and III imported by a registered importer,
the importer will also submit to Customs a copy of the export license
authorizing the export of the article or articles from the exporting
country. If the exporting country does not require issuance of an export
license, the importer must submit a certification, under penalty of
perjury, to that effect.
[[Page 52]]
(1) In obtaining the release from Customs custody of an article
imported pursuant to a permit, the permit holder will prepare and file
Form 6A according to its instructions.
(2) The ATF Form 6A must contain the information requested on the
form, including:
(i) The name, address, and license number (if any) of the importer;
(ii) The name of the manufacturer of the defense article;
(iii) The country of manufacture;
(iv) The type;
(v) The model;
(vi) The caliber, gauge, or size;
(vii) The serial number in the case of firearms, if known; and
(viii) The number of defense articles released.
(b) Within 15 days of the date of their release from Customs
custody, the importer of the articles released will forward to the
address specified on the form a copy of Form 6A on which will be
reported any error or discrepancy appearing on the Form 6A certified by
Customs and serial numbers if not previously provided on ATF Form 6A.
(Approved by the Office of Management and Budget under control number
1512-0019)
[T.D. ATF-215, 50 FR 42161, Oct. 18, 1985, as amended by T.D. ATF-426,
65 FR 38197, June 20, 2000; T.D. ATF-484, 67 FR 64526, Oct. 21, 2002]
Sec. 447.46 Articles in transit.
Articles subject to the import permit procedures of this subpart
which enter the United States for temporary deposit pending removal
therefrom and such articles which are temporarily taken out of the
United States for return thereto shall be regarded as in transit and
will be considered neither imported nor exported under this part. Such
transactions are subject to the Intransit or Temporary Export License
procedures of the Department of State (see 22 CFR Part 123).
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-215, 50
FR 42161, Oct. 18, 1985]
Subpart F_Miscellaneous Provisions
Sec. 447.51 Import certification and delivery verification.
Pursuant to agreement with the United States, certain foreign
countries are entitled to request certification of legality of
importation of articles on the U.S. Munitions Import List. Upon request
of a foreign government, the appropriate ATF officer will certify the
importation, on Form ITA-645P/ATF-4522/DSP53, for the U.S. importer.
Normally, the U.S. importer will submit this form at the time he applies
for an import permit. This document will serve as evidence to the
government of the exporting company that the U.S. importer has complied
with import regulations of the U.S. Government and is prohibited from
diverting, transshipping, or reexporting the material described therein
without the approval of the U.S. Government. Foreign governments may
also require documentation attesting to the delivery of the material
into the United States. When such delivery certification is requested by
a foreign government, the U.S. importer may obtain directly from the
U.S. District Director of Customs the authenticated Delivery
Verification Certificate (U.S. Department of Commerce Form ITA-647P) for
this purpose.
(Approved by the Office of Management and Budget under control number
0625-0064)
[T.D. ATF-215, 50 FR 42162, Oct. 18, 1985, as amended by T.D. ATF-484,
67 FR 64526, Oct. 21, 2002]
Sec. 447.52 Import restrictions applicable to certain countries.
(a) It is the policy of the United States to deny licenses and other
approvals with respect to defense articles and defense services
originating in certain countries or areas. This policy applies to Cuba,
Iran, Iraq, Libya, Mongolia, North Korea, Sudan, Syria, Vietnam, and
some of the states that comprised the former Soviet Union (Armenia,
Azerbaijan, Belarus, and Tajikistan). This policy applies to countries
or areas with respect to which the United States maintains an arms
embargo (e.g., Burma, China, the
[[Page 53]]
Federal Republic of Yugoslavia (Serbia and Montenegro), Haiti, Liberia,
Rwanda, Somalia, Sudan, UNITA (Angola), and Zaire). It also applies when
an import would not be in furtherance of world peace and the security
and foreign policy of the United States.
Note: Changes in foreign policy may result in additions to and
deletions from the above list of countries. The ATF will publish changes
to this list in the Federal Register. Contact the Firearms and
Explosives Imports Branch at (202) 927-8320 for current information.
(b) Notwithstanding paragraph (a) of this section, the appropriate
ATF officer shall deny applications to import into the United States the
following firearms and ammunition:
(1) Any firearm located or manufactured in Georgia, Kazakstan,
Kyrgyzstan, Moldova, Russian Federation, Turkmenistan, Ukraine, or
Uzbekistan, and any firearm previously manufactured in the Soviet Union,
that is not one of the models listed below:
(i) Pistols/Revolvers:
(A) German Model P08 Pistol.
(B) IZH 34M, .22 caliber Target Pistol.
(C) IZH 35M, .22 caliber Target Pistol.
(D) Mauser Model 1896 Pistol.
(E) MC-57-1 Pistol.
(F) MC-1-5 Pistol.
(G) Polish Vis Model 35 Pistol.
(H) Soviet Nagant Revolver.
(I) TOZ 35, .22 caliber Target Pistol.
(ii) Rifles:
(A) BARS-4 Bolt Action Carbine.
(B) Biathlon Target Rifle, .22LR caliber.
(C) British Enfield Rifle.
(D) CM2, .22 caliber Target Rifle (also known as SM2, 22 caliber).
(E) German Model 98K Rifle.
(F) German Model G41 Rifle.
(G) German Model G43 Rifle.
(H) IZH-94.
(I) LOS-7 Bolt Action Rifle.
(J) MC-7-07.
(K) MC-18-3.
(L) MC-19-07.
(M) MC-105-01.
(N) MC-112-02.
(O) MC-113-02.
(P) MC-115-1.
(Q) MC-125/127.
(R) MC-126.
(S) MC-128.
(T) Saiga Rifle.
(U) Soviet Model 38 Carbine.
(V) Soviet Model 44 Carbine.
(W) Soviet Model 91/30 Rifle.
(X) TOZ 18, .22 caliber Bolt Action Rifle.
(Y) TOZ 55.
(Z) TOZ 78.
(AA) Ural Target Rifle, .22LR caliber.
(BB) VEPR Rifle.
(CC) Winchester Model 1895, Russian Model Rifle;
(2) Ammunition located or manufactured in Georgia, Kazakstan,
Kyrgyzstan, Moldova, Russian Federation, Turkmenistan, Ukraine, or
Uzbekistan, and ammunition previously manufactured in the Soviet Union,
that is 7.62X25mm caliber (also known as 7.63X25mm caliber or .30
Mauser); or
(3) A type of firearm the manufacture of which began after February
9, 1996.
(c) The provisions of paragraph (b) of this section shall not affect
the fulfillment of contracts with respect to firearms or ammunition
entered or withdrawn from warehouse for consumption in the United States
on or before February 9, 1996.
(d) A defense article authorized for importation under this part may
not be shipped on a vessel, aircraft or other means or conveyance which
is owned or operated by, or leased to or from, any of the countries or
areas covered by paragraph (a) of this section.
(e) Applications for permits to import articles that were
manufactured in, or have been in, a country or area proscribed under
this section may be approved where the articles are covered by Category
I(a) of the Import List (other than those subject to the provisions of
27 CFR Part 479), are importable as curios or relics under the
provisions of 27 CFR 478.118, and meet the following criteria:
(1) The articles were manufactured in a proscribed country or area
prior to the date, as established by the Department of State, the
country or area became proscribed, or, were manufactured in a non-
proscribed country or area; and
(2) The articles have been stored for the five year period
immediately prior to importation in a non-proscribed country or area.
[[Page 54]]
(f) Applicants desiring to import articles claimed to meet the
criteria specified in paragraph (e) of this section shall explain, and
certify to, how the firearms meet the criteria. The certification
statement will be prepared in letter form, executed under the penalties
of perjury, and should be submitted with the application for an import
permit. The certification statement must be accompanied by documentary
information on the country or area of original manufacture and on the
country or area of storage for the five year period immediately prior to
importation. Such information may, for example, include a verifiable
statement in the English language of a government official or any other
person having knowledge of the date and place of manufacture and/or the
place of storage; a warehouse receipt or other document which provides
the required history of storage; and any other document that the
applicant believes substantiates the place and date of manufacture and
the place of storage. The appropriate ATF officer, however, reserves the
right to determine whether documentation is acceptable. Applicants
shall, when required by the appropriate ATF officer, furnish additional
documentation as may be necessary to determine whether an import permit
application should be approved.
[T.D. ATF-202, 50 FR 14382, Apr. 12, 1985, as amended by T.D. ATF-215,
50 FR 42162, Oct. 18, 1985; T.D. ATF-287, 54 FR 13681, Apr. 5, 1989;
T.D. ATF-323, 57 FR 24189, June 8, 1992; T.D. ATF-349, 58 FR 47831,
Sept. 13, 1993; T.D. ATF-367, 60 FR 47866, Sept. 15, 1995; T.D. ATF-396,
62 FR 61234, Nov. 17, 1997; T.D. ATF-484, 67 FR 64526, Oct. 21, 2002]
Sec. 447.53 Exemptions.
(a) The provisions of this part are not applicable to:
(1) Importations by the United States or any agency thereof;
(2) Importation of components for items being manufactured under
contract for the Department of Defense; or
(3) Importation of articles (other than those which would be
``firearms'' as defined in 18 U.S.C. 921(a)(3) manufactured in foreign
countries for persons in the United States pursuant to Department of
State approval.
(b) Any person seeking to import articles on the U.S. Munitions
Import List as exempt under paragraph (a)(2) or (3) of this section may
obtain release of such articles from Customs custody by submitting, to
the Customs officer with authority to release, a statement claiming the
exemption accompanied by satisfactory proof of eligibility. Such proof
may be in the form of a letter from the Department of Defense or State,
as the case may be, confirming that the conditions of the exemption are
met.
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-215, 50
FR 42162, Oct. 18, 1985]
Sec. 447.54 Administrative procedures inapplicable.
The functions conferred under section 38, Arms Export Control Act of
1976, as amended, are excluded from the operation of Chapter 5, Title 5,
United States Code, with respect to Rule Making and Adjudication, 5
U.S.C. 553 and 554.
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-215, 50
FR 42162, Oct. 18, 1985]
Sec. 447.55 Departments of State and Defense consulted.
The administration of the provisions of this part will be subject to
the guidance of the Secretaries of State and Defense on matters
affecting world peace and the external security and foreign policy of
the United States.
Sec. 447.56 Authority of Customs officers.
(a) Officers of the U.S. Customs Service are authorized to take
appropriate action to assure compliance with this part and with 27 CFR
Parts 478 and 479 as to the importation or attempted importation of
articles on the U.S. Munitions Import List, whether or not authorized by
permit.
(b) Upon the presentation to him of a permit or written approval
authorizing importation of articles on the U.S. Munitions Import List,
the Customs officer who has authority to release same may require, in
addition to such documents as may be required by Customs regulations,
the production of other relevant documents relating to the proposed
importation, including, but not
[[Page 55]]
limited to, invoices, orders, packing lists, shipping documents,
correspondence, and instructions.
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-215, 50
FR 42162, Oct. 18, 1985]
Sec. 447.57 U.S. military defense articles.
(a)(1) Notwithstanding any other provision of this part or of parts
478 or 479 of this chapter, no military defense article of United States
manufacture may be imported into the United States if such article was
furnished to a foreign government under a foreign assistance or foreign
military sales program of the United States.
(2) The restrictions in paragraph (a)(1) of this section cover
defense articles which are advanced in value or improved in condition in
a foreign country, but do not include those which have been
substantially transformed as to become, in effect, articles of foreign
manufacture.
(b) Paragraph (a) of this section will not apply if:
(1) The applicant submits with the ATF Form 6--Part I application
written authorization from the Department of State to import the defense
article; and
(2) In the case of firearms, such firearms are curios or relics
under 18 U.S.C. 925(e) and the person seeking to import such firearms
provides a certification of a foreign government that the firearms were
furnished to such government under a foreign assistance or foreign
military sales program of the United States and that the firearms are
owned by such foreign government. (See Sec. 478.118 of this chapter
providing for the importation of certain curio or relic handguns, rifles
and shotguns.)
(c) For the purpose of this section, the term ``military defense
article'' includes all defense articles furnished to foreign governments
under a foreign assistance or foreign military sales program of the
United States as set forth in paragraph (a) of this section.
(Approved by the Office of Management and Budget under OMB Control No.
1512-0017)
[T.D. ATF-287, 54 FR 13681, Apr. 5, 1989, as amended by T.D. ATF-393, 62
FR 61235, Nov. 17, 1997; T.D. ATF-426, 65 FR 38198, June 20, 2000]
Sec. 447.58 Delegations of the Director.
The regulatory authorities of the Director contained in this part
are delegated to appropriate ATF officers. These ATF officers are
specified in ATF O 1130.34, Delegation of the Director's Authorities in
27 CFR Part 447. ATF delegation orders, such as ATF O 1130.34, are
available to any interested party by mailing a request to the ATF
Distribution Center, PO Box 5950, Springfield, VA 22150-5950, or by
accessing the ATF Web site http://www.atf.treas.gov/.
[T.D. ATF-484, 67 FR 64526, Oct. 21, 2002]
Subpart G_Penalties, Seizures and Forfeitures
Sec. 447.61 Unlawful importation.
Any person who willfully:
(a) Imports articles on the U.S. Munitions Import List without a
permit;
(b) Engages in the business of importing articles on the U.S.
Munitions Import List without registering under this part; or
(c) Otherwise violates any provisions of this part;
Shall upon conviction be fined not more than $1,000,000 or imprisoned
not more than 10 years, or both.
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended at 39 FR 4760, Feb.
7, 1974; T.D. ATF-215, 50 FR 42162, Oct. 18, 1985; T.D. ATF-287, 54 FR
13681, Apr. 5, 1989]
Sec. 447.62 False statements or concealment of facts.
Any person who willfully, in a registration or permit application,
makes any untrue statement of a material fact or fails to state a
material fact required to be stated therein or necessary to make the
statements therein not misleading, shall upon conviction be fined not
more than $1,000,000, or imprisoned not more than 10 years, or both.
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-215, 50
FR 42162, Oct. 18, 1985; T.D. ATF-287, 54 FR 13681, Apr. 5, 1989]
[[Page 56]]
Sec. 447.63 Seizure and forfeiture.
Whoever knowingly imports into the United States contrary to law any
article on the U.S. Munitions Import List; or receives, conceals, buys,
sells, or in any manner facilitates its transportation, concealment, or
sale after importation, knowing the same to have been imported contrary
to law, shall be fined not more than $10,000 or imprisoned not more than
5 years, or both; and the merchandise so imported, or the value thereof
shall be forfeited to the United States.
(18 U.S.C. 545)
[T.D. ATF-8, 39 FR 3251, Jan. 25, 1974, as amended by T.D. ATF-215, 50
FR 42162, Oct. 18, 1985]
PART 478_COMMERCE IN FIREARMS AND AMMUNITION--Table of Contents
Subpart A_Introduction
Sec.
478.1 Scope of regulations.
478.2 Relation to other provisions of law.
Subpart B_Definitions
478.11 Meaning of terms.
Subpart C_Administrative and Miscellaneous Provisions
478.21 Forms prescribed.
478.22 Alternate methods or procedures; emergency variations from
requirements.
478.23 Right of entry and examination.
478.24 Compilation of State laws and published ordinances.
478.25 Disclosure of information.
478.25a Responses to requests for information.
478.26 Curio and relic determination.
478.27 Destructive device determination.
478.28 Transportation of destructive devices and certain firearms.
478.29 Out-of-State acquisition of firearms by nonlicenses.
478.29a Acquisition of firearms by nonresidents.
478.30 Out-of-State disposition of firearms by nonlicensees.
478.31 Delivery by common or contract carrier.
478.32 Prohibited shipment, transportation, possession, or receipt of
firearms and ammunition by certain persons.
478.33 Stolen firearms and ammunition.
478.33a Theft of firearms.
478.34 Removed, obliterated, or altered serial number.
478.35 Skeet, trap, target, and similar shooting activities.
478.36 Transfer or possession of machine guns.
478.37 Manufacture, importation and sale of armor piercing ammunition.
478.38 Transportation of firearms.
478.39 Assembly of semiautomatic rifles or shotguns.
478.39a Reporting theft or loss of firearms.
478.40 Manufacture, transfer, and possession of semiautomatic assault
weapons.
478.40a Transfer and possession of large capacity ammunition feeding
devices.
Subpart D_Licenses
478.41 General.
478.42 License fees.
478.43 License fee not refundable.
478.44 Original license.
478.45 Renewal of license.
478.46 Insufficient fee.
478.47 Issuance of license.
478.48 Correction of error on license.
478.49 Duration of license.
478.50 Locations covered by license.
478.51 License not transferable.
478.52 Change of address.
478.53 Change in trade name.
478.54 Change of control.
478.55 Continuing partnerships.
478.56 Right of succession by certain persons.
478.57 Discontinuance of business.
478.58 State or other law.
478.59 Abandoned application.
478.60 Certain continuances of business.
Subpart E_License Proceedings
478.71 Denial of an application for license.
478.72 Hearing after application denial.
478.73 Notice of revocation, suspension, or imposition of civil fine.
478.74 Request for hearing after notice of suspension, revocation, or
imposition of civil fine.
478.75 Service on applicant or licensee.
478.76 Representation at a hearing.
478.77 Designated place of hearing.
478.78 Operations by licensee after notice.
Subpart F_Conduct of Business
478.91 Posting of license.
478.92 How must licensed manufacturers and licensed importers identify
firearms, armor piercing ammunition, and large capacity
ammunition feeding devices?
478.93 Authorized operations by a licensed collector.
478.94 Sales or deliveries between licensees.
478.95 Certified copy of license.
478.96 Out-of-State and mail order sales.
478.97 Loan or rental of firearms.
[[Page 57]]
478.98 Sales or deliveries of destructive devices and certain firearms.
478.99 Certain prohibited sales or deliveries.
478.100 Conduct of business away from licensed premises.
478.101 Record of transactions.
478.102 Sales or deliveries of firearms on and after November 30, 1998.
478.103 Posting of signs and written notification to purchasers of
handguns.
Subpart G_Importation
478.111 General.
478.112 Importation by a licensed importer.
478.113 Importation by other licensees.
478.113a Importation of firearm barrels by nonlicensees.
478.114 Importation by members of the U.S. Armed Forces.
478.115 Exempt importation.
478.116 Conditional importation.
478.117 Function outside a customs territory.
478.118 Importation of certain firearms classified as curios and relics.
478.119 Importation of ammunition feeding devices.
478.120 Firearms or ammunition imported by or for a nonimmigrant alien.
Subpart H_Records
478.121 General.
478.122 Records maintained by importers.
478.123 Records maintained by manufacturers.
478.124 Firearms transaction record.
478.124a Firearms transaction record in lieu of record of receipt and
disposition.
478.125 Record of receipt and disposition.
478.125a Personal firearms collection.
478.126 Furnishing transaction information.
478.126a Reporting multiple sales or other disposition of pistols and
revolvers.
478.127 Discontinuance of business.
478.128 False statement or representation.
478.129 Record retention.
478.131 Firearms transactions not subject to a NICS check.
478.132 Dispositions of semiautomatic assault weapons and large capacity
ammunition feeding devices to law enforcement officers for
official use and to employees or contractors of nuclear
facilities.
478.133 Records of transactions in semiautomatic assault weapons.
478.134 Sale of firearms to law enforcement officers.
Subpart I_Exemptions, Seizures, and Forfeitures
478.141 General.
478.142 Effect of pardons and expunctions of convictions.
478.143 Relief from disabilities incurred by indictment.
478.144 Relief from disabilities under the Act.
478.145 Research organizations.
478.146 Deliveries by mail to certain persons.
478.147 Return of firearm.
478.148 Armor piercing ammunition intended for sporting or industrial
purposes.
478.149 Armor piercing ammunition manufactured or imported for the
purpose of testing or experimentation.
478.150 Alternative to NICS in certain geographical locations.
478.151 Semiautomatic rifles or shotguns for testing or experimentation.
478.152 Seizure and forfeiture.
478.153 Semiautomatic assault weapons and large capacity ammunition
feeding devices manufactured or imported for the purposes of
testing or experimentation.
Subpart J [Reserved]
Subpart K_Exportation
478.171 Exportation.
Authority: 5 U.S.C. 552(a); 18 U.S.C. 847, 921-930; 44 U.S.C.
3504(h).
Source: 33 FR 18555, Dec. 14, 1968, unless otherwise noted.
Redesignated at 40 FR 16835, Apr. 15, 1975. Further redesignated by T.D.
ATF-487, 68 FR 3750, Jan. 24, 2003.
Editorial Note: Nomenclature changes to part 478 appear at T.D. ATF-
411, 64 FR 17291, Apr. 9, 1999, and T.D. ATF-487, 68 FR 3750, Jan. 24,
2003.
Subpart A_Introduction
Sec. 478.1 Scope of regulations.
(a) General. The regulations contained in this part relate to
commerce in firearms and ammunition and are promulgated to implement
Title I, State Firearms Control Assistance (18 U.S.C. Chapter 44), of
the Gun Control Act of 1968 (82 Stat. 1213) as amended by Pub. L. 99-308
(100 Stat. 449), Pub. L. 99-360 (100 Stat. 766), Pub. L. 99-408 (100
Stat. 920), Pub. L. 103-159 (107 Stat. 1536), Pub. L. 103-322 (108 Stat.
1796), Pub. L. 104-208 (110 Stat. 3009), and Pub. L. 105-277 (112 Stat.
2681).
(b) Procedural and substantive requirements. This part contains the
procedural and substantive requirements relative to:
(1) The interstate or foreign commerce in firearms and ammunition;
[[Page 58]]
(2) The licensing of manufacturers and importers of firearms and
ammunition, collectors of firearms, and dealers in firearms;
(3) The conduct of business or activity by licensees;
(4) The importation of firearms and ammunition;
(5) The records and reports required of licensees;
(6) Relief from disabilities under this part;
(7) Exempt interstate and foreign commerce in firearms and
ammunition; and
(8) Restrictions on armor piercing ammunition.
[T.D. ATF-270, 53 FR 10490, Mar. 31, 1988, as amended by T.D. ATF-354,
59 FR 7112, Feb. 14, 1994; T.D. ATF-363, 60 FR 17450, Apr. 6, 1995; T.D.
ATF-401, 63 FR 35522, June 30, 1998; T.D. ATF-471, 67 FR 5425, Feb. 5,
2002]
Sec. 478.2 Relation to other provisions of law.
The provisions in this part are in addition to, and are not in lieu
of, any other provision of law, or regulations, respecting commerce in
firearms or ammunition. For regulations applicable to traffic in machine
guns, destructive devices, and certain other firearms, see Part 479 of
this chapter. For statutes applicable to the registration and licensing
of persons engaged in the business of manufacturing, importing or
exporting arms, ammunition, or implements of war, see section 38 of the
Arms Export Control Act (22 U.S.C. 2778) and regulations thereunder and
Part 447 of this chapter. For statutes applicable to nonmailable
firearms, see 18 U.S.C. 1715 and regulations thereunder.
[T.D. ATF-270, 53 FR 10490, Mar. 31, 1988]
Subpart B_Definitions
Sec. 478.11 Meaning of terms.
When used in this part and in forms prescribed under this part,
where not otherwise distinctly expressed or manifestly incompatible with
the intent thereof, terms shall have the meanings ascribed in this
section. Words in the plural form shall include the singular, and vice
versa, and words importing the masculine gender shall include the
feminine. The terms ``includes'' and ``including'' do not exclude other
things not enumerated which are in the same general class or are
otherwise within the scope thereof.
Act. 18 U.S.C. Chapter 44.
Adjudicated as a mental defective. (a) A determination by a court,
board, commission, or other lawful authority that a person, as a result
of marked subnormal intelligence, or mental illness, incompetency,
condition, or disease:
(1) Is a danger to himself or to others; or
(2) Lacks the mental capacity to contract or manage his own affairs.
(b) The term shall include--
(1) A finding of insanity by a court in a criminal case; and
(2) Those persons found incompetent to stand trial or found not
guilty by reason of lack of mental responsibility pursuant to articles
50a and 72b of the Uniform Code of Military Justice, 10 U.S.C. 850a,
876b.
Admitted to the United States for lawful hunting or sporting
purposes. (a) Is entering the United States to participate in a
competitive target shooting event sponsored by a national, State, or
local organization, devoted to the competitive use or other sporting use
of firearms; or
(b) Is entering the United States to display firearms at a sports or
hunting trade show sponsored by a national, State, or local firearms
trade organization, devoted to the competitive use or other sporting use
of firearms.
Alien. Any person not a citizen or national of the United States.
Alien illegally or unlawfully in the United States. Aliens who are
unlawfully in the United States are not in valid immigrant, nonimmigrant
or parole status. The term includes any alien--
(a) Who unlawfully entered the United States without inspection and
authorization by an immigration officer and who has not been paroled
into the United States under section 212(d)(5) of the Immigration and
Nationality Act (INA);
(b) Who is a nonimmigrant and whose authorized period of stay has
expired or who has violated the terms of the nonimmigrant category in
which he or she was admitted;
[[Page 59]]
(c) Paroled under INA section 212(d)(5) whose authorized period of
parole has expired or whose parole status has been terminated; or
(d) Under an order of deportation, exclusion, or removal, or under
an order to depart the United States voluntarily, whether or not he or
she has left the United States.
Ammunition. Ammunition or cartridge cases, primers, bullets, or
propellent powder designed for use in any firearm other than an antique
firearm. The term shall not include (a) any shotgun shot or pellet not
designed for use as the single, complete projectile load for one shotgun
hull or casing, nor (b) any unloaded, non-metallic shotgun hull or
casing not having a primer.
Antique firearm. (a) Any firearm (including any firearm with a
matchlock, flintlock, percussion cap, or similar type of ignition
system) manufactured in or before 1898; and (b) any replica of any
firearm described in paragraph (a) of this definition if such replica
(1) is not designed or redesigned for using rimfire or conventional
centerfire fixed ammunition, or (2) uses rimfire or conventional
centerfire fixed ammunition which is no longer manufactured in the
United States and which is not readily available in the ordinary
channels of commercial trade.
Armor piercing ammunition. Projectiles or projectile cores which may
be used in a handgun and which are constructed entirely (excluding the
presence of traces of other substances) from one or a combination of
tungsten alloys, steel, iron, brass, bronze, beryllium copper, or
depleted uranium; or full jacketed projectiles larger than .22 caliber
designed and intended for use in a handgun and whose jacket has a weight
of more than 25 percent of the total weight of the projectile. The term
does not include shotgun shot required by Federal or State environmental
or game regulations for hunting purposes, frangible projectiles designed
for target shooting, projectiles which the Director finds are primarily
intended to be used for sporting purposes, or any other projectiles or
projectile cores which the Director finds are intended to be used for
industrial purposes, including charges used in oil and gas well
perforating devices.
ATF officer. An officer or employee of the Bureau of Alcohol,
Tobacco and Firearms (ATF) authorized to perform any function relating
to the administration or enforcement of this part.
Business premises. The property on which the manufacturing or
importing of firearms or ammunition or the dealing in firearms is or
will be conducted. A private dwelling, no part of which is open to the
public, shall not be recognized as coming within the meaning of the
term.
Chief, National Licensing Center. The ATF official responsible for
the issuance and renewal of licenses under this part.
Collector. Any person who acquires, holds, or disposes of firearms
as curios or relics.
Collection premises. The premises described on the license of a
collector as the location at which he maintains his collection of curios
and relics.
Commerce. Travel, trade, traffic, commerce, transportation, or
communication among the several States, or between the District of
Columbia and any State, or between any foreign country or any territory
or possession and any State or the District of Columbia, or between
points in the same State but through any other State or the District of
Columbia or a foreign country.
Committed to a mental institution. A formal commitment of a person
to a mental institution by a court, board, commission, or other lawful
authority. The term includes a commitment to a mental institution
involuntarily. The term includes commitment for mental defectiveness or
mental illness. It also includes commitments for other reasons, such as
for drug use. The term does not include a person in a mental institution
for observation or a voluntary admission to a mental institution.
Controlled substance. A drug or other substance, or immediate
precursor, as defined in section 102 of the Controlled Substances Act,
21 U.S.C. 802. The term includes, but is not limited to, marijuana,
depressants, stimulants, and narcotic drugs. The term does not include
distilled spirits, wine, malt beverages, or tobacco, as those terms are
[[Page 60]]
defined or used in Subtitle E of the Internal Revenue Code of 1986, as
amended.
Crime punishable by imprisonment for a term exceeding 1 year. Any
Federal, State or foreign offense for which the maximum penalty, whether
or not imposed, is capital punishment or imprisonment in excess of 1
year. The term shall not include (a) any Federal or State offenses
pertaining to antitrust violations, unfair trade practices, restraints
of trade, or other similar offenses relating to the regulation of
business practices or (b) any State offense classified by the laws of
the State as a misdemeanor and punishable by a term of imprisonment of 2
years or less. What constitutes a conviction of such a crime shall be
determined in accordance with the law of the jurisdiction in which the
proceedings were held. Any conviction which has been expunged or set
aside or for which a person has been pardoned or has had civil rights
restored shall not be considered a conviction for the purposes of the
Act or this part, unless such pardon, expunction, or restoration of
civil rights expressly provides that the person may not ship, transport,
possess, or receive firearms, or unless the person is prohibited by the
law of the jurisdiction in which the proceedings were held from
receiving or possessing any firearms.
Curios or relics. Firearms which are of special interest to
collectors by reason of some quality other than is associated with
firearms intended for sporting use or as offensive or defensive weapons.
To be recognized as curios or relics, firearms must fall within one of
the following categories:
(a) Firearms which were manufactured at least 50 years prior to the
current date, but not including replicas thereof;
(b) Firearms which are certified by the curator of a municipal,
State, or Federal museum which exhibits firearms to be curios or relics
of museum interest; and
(c) Any other firearms which derive a substantial part of their
monetary value from the fact that they are novel, rare, bizarre, or
because of their association with some historical figure, period, or
event. Proof of qualification of a particular firearm under this
category may be established by evidence of present value and evidence
that like firearms are not available except as collector's items, or
that the value of like firearms available in ordinary commercial
channels is substantially less.
Customs officer. Any officer of the Customs Service or any
commissioned, warrant, or petty officer of the Coast Guard, or any agent
or other person authorized by law or designated by the Secretary of the
Treasury to perform any duties of an officer of the Customs Service.
Dealer. Any person engaged in the business of selling firearms at
wholesale or retail; any person engaged in the business of repairing
firearms or of making or fitting special barrels, stocks, or trigger
mechanisms to firearms; or any person who is a pawnbroker. The term
shall include any person who engages in such business or occupation on a
part-time basis.
Destructive device. (a) Any explosive, incendiary, or poison gas (1)
bomb, (2) grenade, (3) rocket having a propellant charge of more than 4
ounces, (4) missile having an explosive or incendiary charge of more
than one-quarter ounce, (5) mine, or (6) device similar to any of the
devices described in the preceding paragraphs of this definition; (b)
any type of weapon (other than a shotgun or a shotgun shell which the
Director finds is generally recognized as particularly suitable for
sporting purposes) by whatever name known which will, or which may be
readily converted to, expel a projectile by the action of an explosive
or other propellant, and which has any barrel with a bore of more than
one-half inch in diameter; and (c) any combination of parts either
designed or intended for use in converting any device into any
destructive device described in paragraph (a) or (b) of this section and
from which a destructive device may be readily assembled. The term shall
not include any device which is neither designed nor redesigned for use
as a weapon; any device, although originally designed for use as a
weapon, which is redesigned for use as a signalling, pyrotechnic, line
throwing, safety, or similar device; surplus ordnance sold, loaned, or
given
[[Page 61]]
by the Secretary of the Army pursuant to the provisions of section
4684(2), 4685, or 4686 of title 10, United States Code; or any other
device which the Director finds is not likely to be used as a weapon, is
an antique, or is a rifle which the owner intends to use solely for
sporting, recreational, or cultural purposes.
Director. The Director, Bureau of Alcohol, Tobacco and Firearms, the
Department of the Treasury, Washington, DC.
Director of Industry Operations. The principal ATF official in a
Field Operations division responsible for administering regulations in
this part.
Discharged under dishonorable conditions. Separation from the U.S.
Armed Forces resulting from a dishonorable discharge or dismissal
adjudged by a general court-martial. The term does not include any
separation from the Armed Forces resulting from any other discharge,
e.g., a bad conduct discharge.
Division. A Bureau of Alcohol, Tobacco and Firearms Division.
Engaged in the business--(a) Manufacturer of firearms. A person who
devotes time, attention, and labor to manufacturing firearms as a
regular course of trade or business with the principal objective of
livelihood and profit through the sale or distribution of the firearms
manufactured;
(b) Manufacturer of ammunition. A person who devotes time,
attention, and labor to manufacturing ammunition as a regular course of
trade or business with the principal objective of livelihood and profit
through the sale or distribution of the ammunition manufactured;
(c) Dealer in firearms other than a gunsmith or a pawnbroker. A
person who devotes time, attention, and labor to dealing in firearms as
a regular course of trade or business with the principal objective of
livelihood and profit through the repetitive purchase and resale of
firearms, but such a term shall not include a person who makes
occasional sales, exchanges, or purchases of firearms for the
enhancement of a personal collection or for a hobby, or who sells all or
part of his personal collection of firearms;
(d) Gunsmith. A person who devotes time, attention, and labor to
engaging in such activity as a regular course of trade or business with
the principal objective of livelihood and profit, but such a term shall
not include a person who makes occasional repairs of firearms or who
occasionally fits special barrels, stocks, or trigger mechanisms to
firearms;
(e) Importer of firearms. A person who devotes time, attention, and
labor to importing firearms as a regular course of trade or business
with the principal objective of livelihood and profit through the sale
or distribution of the firearms imported; and,
(f) Importer of ammunition. A person who devotes time, attention,
and labor to importing ammunition as a regular course of trade or
business with the principal objective of livelihood and profit through
the sale or distribution of the ammunition imported.
Executed under penalties of perjury. Signed with the prescribed
declaration under the penalties of perjury as provided on or with
respect to the return form, or other document or, where no form of
declaration is prescribed, with the declaration:
``I declare under the penalties of perjury that this--(insert type
of document, such as, statement, application, request, certificate),
including the documents submitted in support thereof, has been examined
by me and, to the best of my knowledge and belief, is true, correct, and
complete.''
Federal Firearms Act. 15 U.S.C. Chapter 18.
Firearm. Any weapon, including a starter gun, which will or is
designed to or may readily be converted to expel a projectile by the
action of an explosive; the frame or receiver of any such weapon; any
firearm muffler or firearm silencer; or any destructive device; but the
term shall not include an antique firearm. In the case of a licensed
collector, the term shall mean only curios and relics.
Firearm frame or receiver. That part of a firearm which provides
housing for the hammer, bolt or breechblock, and firing mechanism, and
which is usually threaded at its forward portion to receive the barrel.
[[Page 62]]
Firearm muffler or firearm silencer. Any device for silencing,
muffling, or diminishing the report of a portable firearm, including any
combination of parts, designed or redesigned, and intended for use in
assembling or fabricating a firearm silencer or firearm muffler, and any
part intended only for use in such assembly or fabrication.
Friendly foreign government. Any government with whom the United
States has diplomatic relations and whom the United States has not
identified as a State sponsor of terrorism.
Fugitive from justice. Any person who has fled from any State to
avoid prosecution for a felony or a misdemeanor; or any person who
leaves the State to avoid giving testimony in any criminal proceeding.
The term also includes any person who knows that misdemeanor or felony
charges are pending against such person and who leaves the State of
prosecution.
Handgun. (a) Any firearm which has a short stock and is designed to
be held and fired by the use of a single hand; and
(b) Any combination of parts from which a firearm described in
paragraph (a) can be assembled.
Hunting license or permit lawfully issued in the United States. A
license or permit issued by a State for hunting which is valid and
unexpired.
Identification document. A document containing the name, residence
address, date of birth, and photograph of the holder and which was made
or issued by or under the authority of the United States Government, a
State, political subdivision of a State, a foreign government, political
subdivision of a foreign government, an international governmental or an
international quasi- governmental organization which, when completed
with information concerning a particular individual, is of a type
intended or commonly accepted for the purpose of identification of
individuals.
Importation. The bringing of a firearm or ammunition into the United
States; except that the bringing of a firearm or ammunition from outside
the United States into a foreign-trade zone for storage pending shipment
to a foreign country or subsequent importation into this country,
pursuant to this part, shall not be deemed importation.
Importer. Any person engaged in the business of importing or
bringing firearms or ammunition into the United States. The term shall
include any person who engages in such business on a part-time basis.
Indictment. Includes an indictment or information in any court,
under which a crime punishable by imprisonment for a term exceeding 1
year (as defined in this section) may be prosecuted, or in military
cases to any offense punishable by imprisonment for a term exceeding 1
year which has been referred to a general court-martial. An information
is a formal accusation of a crime, differing from an indictment in that
it is made by a prosecuting attorney and not a grand jury.
Interstate or foreign commerce. Includes commerce between any place
in a State and any place outside of that State, or within any possession
of the United States (not including the Canal Zone) or the District of
Columbia. The term shall not include commerce between places within the
same State but through any place outside of that State.
Intimate partner. With respect to a person, the spouse of the
person, a former spouse of the person, an individual who is a parent of
a child of the person, and an individual who cohabitates or has
cohabitated with the person.
Large capacity ammunition feeding device. A magazine, belt, drum,
feed strip, or similar device for a firearm manufactured after September
13, 1994, that has a capacity of, or that can be readily restored or
converted to accept, more than 10 rounds of ammunition. The term does
not include an attached tubular device designed to accept, and capable
of operating only with, .22 caliber rimfire ammunition, or a fixed
device for a manually operated firearm, or a fixed device for a firearm
listed in 18 U.S.C. 922, Appendix A.
Licensed collector. A collector of curios and relics only and
licensed under the provisions of this part.
Licensed dealer. A dealer licensed under the provisions of this
part.
[[Page 63]]
Licensed importer. An importer licensed under the provisions of this
part.
Licensed manufacturer. A manufacturer licensed under the provisions
of this part.
Machine gun. Any weapon which shoots, is designed to shoot, or can
be readily restored to shoot, automatically more than one shot, without
manual reloading, by a single function of the trigger. The term shall
also include the frame or receiver of any such weapon, any part designed
and intended solely and exclusively, or combination of parts designed
and intended, for use in converting a weapon into a machine gun, and any
combination of parts from which a machine gun can be assembled if such
parts are in the possession or under the control of a person.
Manufacturer. Any person engaged in the business of manufacturing
firearms or ammunition. The term shall include any person who engages in
such business on a part-time basis.
Mental institution. Includes mental health facilities, mental
hospitals, sanitariums, psychiatric facilities, and other facilities
that provide diagnoses by licensed professionals of mental retardation
or mental illness, including a psychiatric ward in a general hospital.
Misdemeanor crime of domestic violence. (a) Is a Federal, State or
local offense that:
(1) Is a misdemeanor under Federal or State law or, in States which
do not classify offenses as misdemeanors, is an offense punishable by
imprisonment for a term of one year or less, and includes offenses that
are punishable only by a fine. (This is true whether or not the State
statute specifically defines the offense as a ``misdemeanor'' or as a
``misdemeanor crime of domestic violence.'' The term includes all such
misdemeanor convictions in Indian Courts established pursuant to 25 CFR
part 11.);
(2) Has, as an element, the use or attempted use of physical force
(e.g., assault and battery), or the threatened use of a deadly weapon;
and
(3) Was committed by a current or former spouse, parent, or guardian
of the victim, by a person with whom the victim shares a child in
common, by a person who is cohabiting with or has cohabited with the
victim as a spouse, parent, or guardian, (e.g., the equivalent of a
``common law'' marriage even if such relationship is not recognized
under the law), or a person similarly situated to a spouse, parent, or
guardian of the victim (e.g., two persons who are residing at the same
location in an intimate relationship with the intent to make that place
their home would be similarly situated to a spouse).
(b) A person shall not be considered to have been convicted of such
an offense for purposes of this part unless:
(1) The person is considered to have been convicted by the
jurisdiction in which the proceedings were held.
(2) The person was represented by counsel in the case, or knowingly
and intelligently waived the right to counsel in the case; and
(3) In the case of a prosecution for which a person was entitled to
a jury trial in the jurisdiction in which the case was tried, either
(i) The case was tried by a jury, or
(ii) The person knowingly and intelligently waived the right to have
the case tried by a jury, by guilty plea or otherwise.
(c) A person shall not be considered to have been convicted of such
an offense for purposes of this part if the conviction has been expunged
or set aside, or is an offense for which the person has been pardoned or
has had civil rights restored (if the law of the jurisdiction in which
the proceedings were held provides for the loss of civil rights upon
conviction for such an offense) unless the pardon, expunction, or
restoration of civil rights expressly provides that the person may not
ship, transport, possess, or receive firearms, and the person is not
otherwise prohibited by the law of the jurisdiction in which the
proceedings were held from receiving or possessing any firearms.
National Firearms Act. 26 U.S.C. Chapter 53.
NICS. The National Instant Criminal Background Check System
established by the Attorney General pursuant to 18 U.S.C. 922(t).
Nonimmigrant alien. An alien in the United States in a nonimmigrant
classification as defined by section
[[Page 64]]
101(a)(15) of the Immigration and Nationality Act (8 U.S.C.
1101(a)(15)).
Pawnbroker. Any person whose business or occupation includes the
taking or receiving, by way of pledge or pawn, of any firearm as
security for the payment or repayment of money. The term shall include
any person who engages in such business on a part-time basis.
Permanently inoperable. A firearm which is incapable of discharging
a shot by means of an explosive and incapable of being readily restored
to a firing condition. An acceptable method of rendering most firearms
permanently inoperable is to fusion weld the chamber closed and fusion
weld the barrel solidly to the frame. Certain unusual firearms require
other methods to render the firearm permanently inoperable. Contact ATF
for instructions.
Person. Any individual, corporation, company, association, firm,
partnership, society, or joint stock company.
Pistol. A weapon originally designed, made, and intended to fire a
projectile (bullet) from one or more barrels when held in one hand, and
having (a) a chamber(s) as an integral part(s) of, or permanently
aligned with, the bore(s); and (b) a short stock designed to be gripped
by one hand and at an angle to and extending below the line of the
bore(s).
Principal objective of livelihood and profit. The intent underlying
the sale or disposition of firearms is predominantly one of obtaining
livelihood and pecuniary gain, as opposed to other intents such as
improving or liquidating a personal firearms collection: Provided, That
proof of profit shall not be required as to a person who engages in the
regular and repetitive purchase and disposition of firearms for criminal
purposes or terrorism. For purposes of this part, the term ``terrorism''
means activity, directed against United States persons, which--
(a) Is committed by an individual who is not a national or permanent
resident alien of the United States;
(b) Involves violent acts or acts dangerous to human life which
would be a criminal violation if committed within the jurisdiction of
the United States; and
(c) Is intended--
(1) To intimidate or coerce a civilian population;
(2) To influence the policy of a government by intimidation or
coercion; or
(3) To affect the conduct of a government by assassination or
kidnapping.
Published ordinance. A published law of any political subdivision of
a State which the Director determines to be relevant to the enforcement
of this part and which is contained on a list compiled by the Director,
which list is incorporated by reference in the Federal Register, revised
annually, and furnished to licensees under this part.
Renounced U.S. citizenship. (a) A person has renounced his U.S.
citizenship if the person, having been a citizen of the United States,
has renounced citizenship either--
(1) Before a diplomatic or consular officer of the United States in
a foreign state pursuant to 8 U.S.C. 1481(a)(5); or
(2) Before an officer designated by the Attorney General when the
United States is in a state of war pursuant to 8 U.S.C. 1481(a)(6).
(b) The term shall not include any renunciation of citizenship that
has been reversed as a result of administrative or judicial appeal.
Revolver. A projectile weapon, of the pistol type, having a
breechloading chambered cylinder so arranged that the cocking of the
hammer or movement of the trigger rotates it and brings the next
cartridge in line with the barrel for firing.
Rifle. A weapon designed or redesigned, made or remade, and intended
to be fired from the shoulder, and designed or redesigned and made or
remade to use the energy of the explosive in a fixed metallic cartridge
to fire only a single projectile through a rifled bore for each single
pull of the trigger.
Semiautomatic assault weapon. (a) Any of the firearms, or copies or
duplicates of the firearms in any caliber, known as:
(1) Norinco, Mitchell, and Poly Technologies Avtomat Kalashnikovs
(all models),
(2) Action Arms Israeli Military Industries UZI and Galil,
(3) Beretta Ar70 (SC-70),
(4) Colt AR-15,
[[Page 65]]
(5) Fabrique National FN/FAL, FN/LAR, and FNC,
(6) SWD M-10, M-11, M-11/9, and M-12,
(7) Steyr AUG,
(8) INTRATEC TEC-9, TEC-DC9 and TEC-22, and
(9) Revolving cylinder shotguns, such as (or similar to) the Street
Sweeper and Striker 12;
(b) A semiautomatic rifle that has an ability to accept a detachable
magazine and has at least 2 of--
(1) A folding or telescoping stock,
(2) A pistol grip that protrudes conspicuously beneath the action of
the weapon,
(3) A bayonet mount,
(4) A flash suppressor or threaded barrel designed to accommodate a
flash suppressor, and
(5) A grenade launcher;
(c) A semiautomatic pistol that has an ability to accept a
detachable magazine and has at least 2 of--
(1) An ammunition magazine that attaches to the pistol outside of
the pistol grip,
(2) A threaded barrel capable of accepting a barrel extender, flash
suppressor, forward handgrip, or silencer,
(3) A shroud that is attached to, or partially or completely
encircles, the barrel and that permits the shooter to hold the firearm
with the nontrigger hand without being burned,
(4) A manufactured weight of 50 ounces or more when the pistol is
unloaded, and
(5) A semiautomatic version of an automatic firearm; and
(d) A semiautomatic shotgun that has at least 2 of--
(1) A folding or telescoping stock,
(2) A pistol grip that protrudes conspicuously beneath the action of
the weapon,
(3) A fixed magazine capacity in excess of 5 rounds, and
(4) An ability to accept a detachable magazine.
Semiautomatic pistol. Any repeating pistol which utilizes a portion
of the energy of a firing cartridge to extract the fired cartridge case
and chamber the next round, and which requires a separate pull of the
trigger to fire each cartridge.
Semiautomatic rifle. Any repeating rifle which utilizes a portion of
the energy of a firing cartridge to extract the fired cartridge case and
chamber the next round, and which requires a separate pull of the
trigger to fire each cartridge.
Semiautomatic shotgun. Any repeating shotgun which utilizes a
portion of the energy of a firing cartridge to extract the fired
cartridge case and chamber the next round, and which requires a separate
pull of the trigger to fire each cartridge.
Short-barreled rifle. A rifle having one or more barrels less than
16 inches in length, and any weapon made from a rifle, whether by
alteration, modification, or otherwise, if such weapon, as modified, has
an overall length of less than 26 inches.
Short-barreled shotgun. A shotgun having one or more barrels less
than 18 inches in length, and any weapon made from a shotgun, whether by
alteration, modification, or otherwise, if such weapon as modified has
an overall length of less than 26 inches.
Shotgun. A weapon designed or redesigned, made or remade, and
intended to be fired from the shoulder, and designed or redesigned and
made or remade to use the energy of the explosive in a fixed shotgun
shell to fire through a smooth bore either a number of ball shot or a
single projectile for each single pull of the trigger.
State. A State of the United States. The term shall include the
District of Columbia, the Commonwealth of Puerto Rico, and the
possessions of the United States (not including the Canal Zone).
State of residence. The State in which an individual resides. An
individual resides in a State if he or she is present in a State with
the intention of making a home in that State. If an individual is on
active duty as a member of the Armed Forces, the individual's State of
residence is the State in which his or her permanent duty station is
located. An alien who is legally in the United States shall be
considered to be a resident of a State only if the alien is residing in
the State and has resided in the State for a period of at least 90 days
prior to the date of sale or delivery of a firearm. The following are
examples that illustrate this definition:
[[Page 66]]
Example 1. A maintains a home in State X. A travels to State Y on a
hunting, fishing, business, or other type of trip. A does not become a
resident of State Y by reason of such trip.
Example 2. A is a U.S. citizen and maintains a home in State X and a
home in State Y. A resides in State X except for weekends or the summer
months of the year and in State Y for the weekends or the summer months
of the year. During the time that A actually resides in State X, A is a
resident of State X, and during the time that A actually resides in
State Y, A is a resident of State Y.
Example 3. A, an alien, travels on vacation or on a business trip to
State X. Regardless of the length of time A spends in State X, A does
not have a State of residence in State X. This is because A does not
have a home in State X at which he has resided for at least 90 days.
Unlawful user of or addicted to any controlled substance. A person
who uses a controlled substance and has lost the power of self-control
with reference to the use of controlled substance; and any person who is
a current user of a controlled substance in a manner other than as
prescribed by a licensed physician. Such use is not limited to the use
of drugs on a particular day, or within a matter of days or weeks
before, but rather that the unlawful use has occurred recently enough to
indicate that the individual is actively engaged in such conduct. A
person may be an unlawful current user of a controlled substance even
though the substance is not being used at the precise time the person
seeks to acquire a firearm or receives or possesses a firearm. An
inference of current use may be drawn from evidence of a recent use or
possession of a controlled substance or a pattern of use or possession
that reasonably covers the present time, e.g., a conviction for use or
possession of a controlled substance within the past year; multiple
arrests for such offenses within the past 5 years if the most recent
arrest occurred within the past year; or persons found through a drug
test to use a controlled substance unlawfully, provided that the test
was administered within the past year. For a current or former member of
the Armed Forces, an inference of current use may be drawn from recent
disciplinary or other administrative action based on confirmed drug use,
e.g., court-martial conviction, nonjudicial punishment, or an
administrative discharge based on drug use or drug rehabilitation
failure.
Unserviceable firearm. A firearm which is incapable of discharging a
shot by means of an explosive and is incapable of being readily restored
to a firing condition.
U.S.C. The United States Code.
(5 U.S.C. 552(a), 80 Stat. 383, as amended; 18 U.S.C. 847 (84 Stat.
959); 18 U.S.C. 926 (82 Stat. 1226))
[T.D. ATF-48, 43 FR 13536, Mar. 31 1978; 44 FR 55842, Sept. 28, 1979]
Editorial Note: For Federal Register citations affecting Sec.
478.11, see the List of CFR Sections Affected, which appears in the
Finding Aids section of the printed volume and on GPO Access.
Subpart C_Administrative and Miscellaneous Provisions
Sec. 478.21 Forms prescribed.
(a) The Director is authorized to prescribe all forms required by
this part. All of the information called for in each form shall be
furnished as indicated by the headings on the form and the instructions
on or pertaining to the form. In addition, information called for in
each form shall be furnished as required by this part.
(b) Requests for forms should be mailed to the ATF Distribution
Center, 7943 Angus Court, Springfield, Virginia 22153.
(5 U.S.C. 552(a); 80 Stat. 383, as amended)
[T.D. ATF-92, 46 FR 46915, Sept. 23, 1981, as amended by T.D. ATF-249,
52 FR 5962, Feb. 27, 1987; T.D. ATF-270, 53 FR 10492, Mar. 31, 1988;
T.D. 372, 61 FR 20724, May 8, 1996]
Sec. 478.22 Alternate methods or procedures; emergency variations
from requirements.
(a) Alternate methods or procedures. The licensee, on specific
approval by the Director as provided in this paragraph, may use an
alternate method or procedure in lieu of a method or procedure
specifically prescribed in this part. The Director may approve an
alternate method or procedure, subject to stated conditions, when it is
found that:
(1) Good cause is shown for the use of the alternate method or
procedure;
[[Page 67]]
(2) The alternate method or procedure is within the purpose of, and
consistent with the effect intended by, the specifically prescribed
method or procedure and that the alternate method or procedure is
substantially equivalent to that specifically prescribed method or
procedure; and
(3) The alternate method or procedure will not be contrary to any
provision of law and will not result in an increase in cost to the
Government or hinder the effective administration of this part. Where
the licensee desires to employ an alternate method or procedure, a
written application shall be submitted to the appropriate Director of
Industry Operations, for transmittal to the Director. The application
shall specifically describe the proposed alternate method or procedure
and shall set forth the reasons for it. Alternate methods or procedures
may not be employed until the application is approved by the Director.
The licensee shall, during the period of authorization of an alternate
method or procedure, comply with the terms of the approved application.
Authorization of any alternate method or procedure may be withdrawn
whenever, in the judgment of the Director, the effective administration
of this part is hindered by the continuation of the authorization.
(b) Emergency variations from requirements. The Director may approve
a method of operation other than as specified in this part, where it is
found that an emergency exists and the proposed variation from the
specified requirements are necessary and the proposed variations (1)
will not hinder the effective administration of this part, and (2) will
not be contrary to any provisions of law. Variations from requirements
granted under this paragraph are conditioned on compliance with the
procedures, conditions, and limitations set forth in the approval of the
application. Failure to comply in good faith with the procedures,
conditions, and limitations shall automatically terminate the authority
for the variations, and the licensee shall fully comply with the
prescribed requirements of regulations from which the variations were
authorized. Authority for any variation may be withdrawn whenever, in
the judgment of the Director, the effective administration of this part
is hindered by the continuation of the variation. Where the licensee
desires to employ an emergency variation, a written application shall be
submitted to the appropriate Director of Industry Operations for
transmittal to the Director. The application shall describe the proposed
variation and set forth the reasons for it. Variations may not be
employed until the application is approved.
(c) Retention of approved variations. The licensee shall retain, as
part of the licensee's records, available for examination by ATF
officers, any application approved by the Director under this section.
[T.D. ATF-270, 53 FR 10492, Mar. 31, 1988]
Sec. 478.23 Right of entry and examination.
(a) Except as provided in paragraph (b), any ATF officer, when there
is reasonable cause to believe a violation of the Act has occurred and
that evidence of the violation may be found on the premises of any
licensed manufacturer, licensed importer, licensed dealer, or licensed
collector, may, upon demonstrating such cause before a Federal
magistrate and obtaining from the magistrate a warrant authorizing
entry, enter during business hours (or, in the case of a licensed
collector, the hours of operation) the premises, including places of
storage, of any such licensee for the purpose of inspecting or
examining:
(1) Any records or documents required to be kept by such licensee
under this part and
(2) Any inventory of firearms or ammunition kept or stored by any
licensed manufacturer, licensed importer, or licensed dealer at such
premises or any firearms curios or relics or ammunition kept or stored
by any licensed collector at such premises.
(b) Any ATF officer, without having reasonable cause to believe a
violation of the Act has occurred or that evidence of the violation may
be found and without demonstrating such cause before a Federal
magistrate or obtaining from the magistrate a warrant authorizing entry,
may enter during business hours the premises, including
[[Page 68]]
places of storage, of any licensed manufacturer, licensed importer, or
licensed dealer for the purpose of inspecting or examining the records,
documents, ammunition and firearms referred to in paragraph (a) of this
section:
(1) In the course of a reasonable inquiry during the course of a
criminal investigation of a person or persons other than the licensee,
(2) For insuring compliance with the recordkeeping requirements of
this part:
(i) Not more than once during any 12-month period, or
(ii) At any time with respect to records relating to a firearm
involved in a criminal investigation that is traced to the licensee, or
(3) When such inspection or examination may be required for
determining the disposition of one or more particular firearms in the
course of a bona fide criminal investigation.
(c) Any ATF officer, without having reasonable cause to believe a
violation of the Act has occurred or that evidence of the violation may
be found and without demonstrating such cause before a Federal
magistrate or obtaining from the magistrate a warrant authorizing entry,
may enter during hours of operation the premises, including places of
storage, of any licensed collector for the purpose of inspecting or
examining the records, documents, firearms, and ammunition referred to
in paragraph (a) of this section (1) for ensuring compliance with the
recordkeeping requirements of this part not more than once during any
12-month period or (2) when such inspection or examination may be
required for determining the disposition of one or more particular
firearms in the course of a bona fide criminal investigation. At the
election of the licensed collector, the annual inspection permitted by
this paragraph shall be performed at the ATF office responsible for
conducting such inspection in closest proximity to the collectors
premises.
(d) The inspections and examinations provided by this section do not
authorize an ATF officer to seize any records or documents other than
those records or documents constituting material evidence of a violation
of law. If an ATF officer seizes such records or documents, copies shall
be provided the licensee within a reasonable time.
[T.D. ATF-270, 53 FR 10492, Mar. 31, 1988; as amended by T.D. ATF-363,
60 FR 17450, Apr. 6, 1995]
Sec. 478.24 Compilation of State laws and published ordinances.
(a) The Director shall annually revise and furnish Federal firearms
licensees with a compilation of State laws and published ordinances
which are relevant to the enforcement of this part. The Director
annually revises the compilation and publishes it as ``State Laws and
Published Ordinances--Firearms'' which is furnished free of charge to
licensees under this part. Where the compilation has previously been
furnished to licensees, the Director need only furnish amendments of the
relevant laws and ordinances to such licensees.
(b) ``State Laws and Published Ordinances--Firearms'' is
incorporated by reference in this part. It is ATF Publication 5300.5,
revised yearly. The current edition is available from the Superintendent
of Documents, U.S. Government Printing Office, Washington, DC 20402. It
is also available for inspection at the Office of the Federal Register,
800 North Capitol Street, NW., suite 700, Washington, DC. This
incorporation by reference was approved by the Director of the Federal
Register.
[T.D. ATF-270, 53 FR 10493, Mar. 31, 1988]
Sec. 478.25 Disclosure of information.
The Director of Industry Operations may make available to any
Federal, State or local law enforcement agency any information which is
obtained by reason of the provisions of the Act with respect to the
identification of persons prohibited from purchasing or receiving
firearms or ammunition who have purchased or received firearms or
ammunition, together with a description of such firearms or ammunition.
Upon the request of any Federal, State or
[[Page 69]]
local law enforcement agency, the Director of Industry Operations may
provide such agency any information contained in the records required to
be maintained by the Act or this part.
[T.D. ATF-270, 53 FR 10493, Mar. 31, 1988]
Sec. 478.25a Responses to requests for information.
Each licensee shall respond immediately to, and in no event later
than 24 hours after the receipt of, a request by an ATF officer at the
National Tracing Center for information contained in the records
required to be kept by this part for determining the disposition of one
or more firearms in the course of a bona fide criminal investigation.
The requested information shall be provided orally to the ATF officer
within the 24-hour period. Verification of the identity and employment
of National Tracing Center personnel requesting information may be
established at the time the requested information is provided by
telephoning the toll-free number 1-800-788-7132 or using the toll-free
facsimile (FAX) number 1-800-578-7223.
(Approved by the Office of Management and Budget under control number
1512-0387)
[T.D. ATF-363, 60 FR 17451, Apr. 6, 1996, as amended by T.D. ATF-396, 63
FR 12646, Mar. 16, 1998]
Sec. 478.26 Curio and relic determination.
Any person who desires to obtain a determination whether a
particular firearm is a curio or relic shall submit a written request,
in duplicate, for a ruling thereon to the Director. Each such request
shall be executed under the penalties of perjury and shall contain a
complete and accurate description of the firearm, and such photographs,
diagrams, or drawings as may be necessary to enable the Director to make
a determination. The Director may require the submission of the firearm
for examination and evaluation. If the submission of the firearm is
impractical, the person requesting the determination shall so advise the
Director and designate the place where the firearm will be available for
examination and evaluation.
[T.D. ATF-270, 53 FR 10493, Mar. 31, 1988]
Sec. 478.27 Destructive device determination.
The Director shall determine in accordance with 18 U.S.C. 921(a)(4)
whether a device is excluded from the definition of a destructive
device. A person who desires to obtain a determination under that
provision of law for any device which he believes is not likely to be
used as a weapon shall submit a written request, in triplicate, for a
ruling thereon to the Director. Each such request shall be executed
under the penalties of perjury and contain a complete and accurate
description of the device, the name and address of the manufacturer or
importer thereof, the purpose of and use for which it is intended, and
such photographs, diagrams, or drawings as may be necessary to enable
the Director to make his determination. The Director may require the
submission to him, of a sample of such device for examination and
evaluation. If the submission of such device is impracticable, the
person requesting the ruling shall so advise the Director and designate
the place where the device will be available for examination and
evaluation.
Sec. 478.28 Transportation of destructive devices and certain firearms.
(a) The Director may authorize a person to transport in interstate
or foreign commerce any destructive device, machine gun, short-barreled
shotgun, or short-barreled rifle, if he finds that such transportation
is reasonably necessary and is consistent with public safety and
applicable State and local law. A person who desires to transport in
interstate or foreign commerce any such device or weapon shall submit a
written request so to do, in duplicate, to the Director. The request
shall contain:
(1) A complete description and identification of the device or
weapon to be transported;
(2) A statement whether such transportation involves a transfer of
title;
(3) The need for such transportation;
(4) The approximate date such transportation is to take place;
(5) The present location of such device or weapon and the place to
which it is to be transported;
[[Page 70]]
(6) The mode of transportation to be used (including, if by common
or contract carrier, the name and address of such carrier); and
(7) Evidence that the transportation or possession of such device or
weapon is not inconsistent with the laws at the place of destination.
(b) No person shall transport any destructive device, machine gun,
short-barreled shotgun, or short-barreled rifle in interstate or foreign
commerce under the provisions of this section until he has received
specific authorization so to do from the Director. Authorization granted
under this section does not carry or import relief from any other
statutory or regulatory provision relating to firearms.
(c) This section shall not be construed as requiring licensees to
obtain authorization to transport destructive devices, machine guns,
short-barreled shotguns, and short-barreled rifles in interstate or
foreign commerce: Provided, That in the case of a licensed importer,
licensed manufacturer, or licensed dealer, such a licensee is qualified
under the National Firearms Act (see also Part 479 of this chapter) and
this part to engage in the business with respect to the device or weapon
to be transported, and that in the case of a licensed collector, the
device or weapon to be transported is a curio or relic.
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16385, Apr. 15, 1975,
and amended by T.D. ATF-138, 48 FR 35399, Aug. 4, 1983]
Sec. 478.29 Out-of-State acquisition of firearms by nonlicensees.
No person, other than a licensed importer, licensed manufacturer,
licensed dealer, or licensed collector, shall transport into or receive
in the State where the person resides (or if a corporation or other
business entity, where it maintains a place of business) any firearm
purchased or otherwise obtained by such person outside that State:
Provided, That the provisions of this section:
(a) Shall not preclude any person who lawfully acquires a firearm by
bequest or intestate succession in a State other than his State of
residence from transporting the firearm into or receiving it in that
State, if it is lawful for such person to purchase or possess such
firearm in that State,
(b) Shall not apply to the transportation or receipt of a rifle or
shotgun obtained from a licensed manufacturer, licensed importer,
licensed dealer, or licensed collector in a State other than the
transferee's State of residence in an over-the-counter transaction at
the licensee's premises obtained in conformity with the provisions of
Sec. 478.96(c) and
(c) Shall not apply to the transportation or receipt of a firearm
obtained in conformity with the provisions of Sec. Sec. 478.30 and
478.97.
[T.D. ATF-270, 53 FR 10493, Mar. 31, 1988]
Sec. 478.29a Acquisition of firearms by nonresidents.
No person, other than a licensed importer, licensed manufacturer,
licensed dealer, or licensed collector, who does not reside in any State
shall receive any firearms unless such receipt is for lawful sporting
purposes.
[T.D. ATF-363, 60 FR 17451, Apr. 6, 1995]
Sec. 478.30 Out-of-State disposition of firearms by nonlicensees.
No nonlicensee shall transfer, sell, trade, give, transport, or
deliver any firearm to any other nonlicensee, who the transferor knows
or has reasonable cause to believe does not reside in (or if the person
is a corporation or other business entity, does not maintain a place of
business in) the State in which the transferor resides: Provided, That
the provisions of this section:
(a) shall not apply to the transfer, transportation, or delivery of
a firearm made to carry out a bequest of a firearm to, or any
acquisition by intestate succession of a firearm by, a person who is
permitted to acquire or possess a firearm under the laws of the State of
his residence; and
(b) shall not apply to the loan or rental of a firearm to any person
for temporary use for lawful sporting purposes.
[T.D. ATF-313, 56 FR 32508, July 17, 1991; 57 FR 1205, Jan. 10, 1992]
[[Page 71]]
Sec. 478.31 Delivery by common or contract carrier.
(a) No person shall knowingly deliver or cause to be delivered to
any common or contract carrier for transportation or shipment in
interstate or foreign commerce to any person other than a licensed
importer, licensed manufacturer, licensed dealer, or licensed collector,
any package or other container in which there is any firearm or
ammunition without written notice to the carrier that such firearm or
ammunition is being transported or shipped: Provided, That any passenger
who owns or legally possesses a firearm or ammunition being transported
aboard any common or contract carrier for movement with the passenger in
interstate or foreign commerce may deliver said firearm or ammunition
into the custody of the pilot, captain, conductor or operator of such
common or contract carrier for the duration of that trip without
violating any provision of this part.
(b) No common or contract carrier shall require or cause any label,
tag, or other written notice to be placed on the outside of any package,
luggage, or other container indicating that such package, luggage, or
other container contains a firearm.
(c) No common or contract carrier shall transport or deliver in
interstate or foreign commerce any firearm or ammunition with knowledge
or reasonable cause to believe that the shipment, transportation, or
receipt thereof would be in violation of any provision of this part:
Provided, however, That the provisions of this paragraph shall not apply
in respect to the transportation of firearms or ammunition in in-bond
shipment under Customs laws and regulations.
(d) No common or contract carrier shall knowingly deliver in
interstate or foreign commerce any firearm without obtaining written
acknowledgement of receipt from the recipient of the package or other
container in which there is a firearm: Provided, That this paragraph
shall not apply with respect to the return of a firearm to a passenger
who places firearms in the carrier's custody for the duration of the
trip.
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16385, Apr. 15, 1975,
and amended by T.D. ATF-354, 59 FR 7112, Feb. 14, 1994; T.D. ATF-361, 60
FR 10786, Feb. 27, 1995]
Sec. 478.32 Prohibited shipment, transportation, possession, or receipt
of firearms and ammunition by certain persons.
(a) No person may ship or transport any firearm or ammunition in
interstate or foreign commerce, or receive any firearm or ammunition
which has been shipped or transported in interstate or foreign commerce,
or possess any firearm or ammunition in or affecting commerce, who:
(1) Has been convicted in any court of a crime punishable by
imprisonment for a term exceeding 1 year,
(2) Is a fugitive from justice,
(3) Is an unlawful user of or addicted to any controlled substance
(as defined in section 102 of the Controlled Substances Act, 21 U.S.C.
802),
(4) Has been adjudicated as a mental defective or has been committed
to a mental institution,
(5) Being an alien--
(i) Is illegally or unlawfully in the United States; or
(ii) Except as provided in paragraph (f) of this section, is a
nonimmigrant alien: Provided, That the provisions of this paragraph
(a)(5)(ii) do not apply to any nonimmigrant alien if that alien is-
(A) Admitted to the United States for lawful hunting or sporting
purposes or is in possession of a hunting license or permit lawfully
issued in the United States;
(B) An official representative of a foreign government who is either
accredited to the United States Government or the Government's mission
to an international organization having its headquarters in the United
States or is en route to or from another country to which that alien is
accredited. This exception only applies if the firearm or ammunition is
shipped, transported, possessed, or received in the representative's
official capacity;
(C) An official of a foreign government or a distinguished foreign
visitor
[[Page 72]]
who has been so designated by the Department of State. This exception
only applies if the firearm or ammunition is shipped, transported,
possessed, or received in the official's or visitor's official capacity,
except if the visitor is a private individual who does not have an
official capacity; or
(D) A foreign law enforcement officer of a friendly foreign
government entering the United States on official law enforcement
business,
(6) Has been discharged from the Armed Forces under dishonorable
conditions,
(7) Having been a citizen of the United States, has renounced
citizenship,
(8) Is subject to a court order that--
(i) Was issued after a hearing of which such person received actual
notice, and at which such person had an opportunity to participate;
(ii) Restrains such person from harassing, stalking, or threatening
an intimate partner of such person or child of such intimate partner or
person, or engaging in other conduct that would place an intimate
partner in reasonable fear of bodily injury to the partner or child; and
(iii)(A) Includes a finding that such person represents a credible
threat to the physical safety of such intimate partner or child; or
(B) By its terms explicitly prohibits the use, attempted use, or
threatened use of physical force against such intimate partner or child
that would reasonably be expected to cause bodily injury, or
(9) Has been convicted of a misdemeanor crime of domestic violence.
(b) No person who is under indictment for a crime punishable by
imprisonment for a term exceeding one year may ship or transport any
firearm or ammunition in interstate or foreign commerce or receive any
firearm or ammunition which has been shipped or transported in
interstate or foreign commerce.
(c) Any individual, who to that individual's knowledge and while
being employed by any person described in paragraph (a) of this section,
may not in the course of such employment receive, possess, or transport
any firearm or ammunition in commerce or affecting commerce or receive
any firearm or ammunition which has been shipped or transported in
interstate or foreign commerce.
(d) No person may sell or otherwise dispose of any firearm or
ammunition to any person knowing or having reasonable cause to believe
that such person:
(1) Is under indictment for, or has been convicted in any court of,
a crime punishable by imprisonment for a term exceeding 1 year,
(2) Is a fugitive from justice,
(3) Is an unlawful user of or addicted to any controlled substance
(as defined in section 102 of the Controlled Substances Act, 21 U.S.C.
802),
(4) Has been adjudicated as a mental defective or has been committed
to a mental institution,
(5) Being an alien--
(i) Is illegally or unlawfully in the United States; or
(ii) Except as provided in paragraph (f) of this section, is a
nonimmigrant alien: Provided, That the provisions of this paragraph
(d)(5)(ii) do not apply to any nonimmigrant alien if that alien is-
(A) Admitted to the United States for lawful hunting or sporting
purposes or is in possession of a hunting license or permit lawfully
issued in the United States;
(B) An official representative of a foreign government who is either
accredited to the United States Government or the Government's mission
to an international organization having its headquarters in the United
States or en route to or from another country to which that alien is
accredited. This exception only applies if the firearm or ammunition is
shipped, transported, possessed, or received in the representative's
official capacity;
(C) An official of a foreign government or a distinguished foreign
visitor who has been so designated by the Department of State. This
exception only applies if the firearm or ammunition is shipped,
transported, possessed, or received in the official's or visitor's
official capacity, except if the visitor is a private individual who
does not have an official capacity; or
[[Page 73]]
(D) A foreign law enforcement officer of a friendly foreign
government entering the United States on official law enforcement
business,
(6) Has been discharged from the Armed Forces under dishonorable
conditions,
(7) Having been a citizen of the United States, has renounced
citizenship,
(8) Is subject to a court order that restrains such person from
harassing, stalking, or threatening an intimate partner of such person
or child of such intimate partner or person, or engaging in other
conduct that would place an intimate partner in reasonable fear of
bodily injury to the partner or child: Provided, That the provisions of
this paragraph shall only apply to a court order that--
(i) Was issued after a hearing of which such person received actual
notice, and at which such person had the opportunity to participate; and
(ii)(A) Includes a finding that such person represents a credible
threat to the physical safety of such intimate partner or child; or
(B) By its terms explicitly prohibits the use, attempted use, or
threatened use of physical force against such intimate partner or child
that would reasonably be expected to cause bodily injury, or
(9) Has been convicted of a misdemeanor crime of domestic violence.
(e) The actual notice required by paragraphs (a)(8)(i) and (d)(8)(i)
of this section is notice expressly and actually given, and brought home
to the party directly, including service of process personally served on
the party and service by mail. Actual notice also includes proof of
facts and circumstances that raise the inference that the party received
notice including, but not limited to, proof that notice was left at the
party's dwelling house or usual place of abode with some person of
suitable age and discretion residing therein; or proof that the party
signed a return receipt for a hearing notice which had been mailed to
the party. It does not include notice published in a newspaper.
(f) Pursuant to 18 U.S.C. 922(y)(3), any nonimmigrant alien may
receive a waiver from the prohibition contained in paragraph (a)(5)(ii)
of this section, if the Attorney General approves a petition for the
waiver.
[T.D. ATF-270, 53 FR 10493, Mar. 31, 1988, as amended by T.D. ATF-363,
60 FR 17451, Apr. 6, 1995; T.D. ATF-391, 62 FR 34639, June 27, 1997;
T.D. ATF-401, 63 FR 35522, June 30, 1998; T.D. ATF-471, 67 FR 5425, Feb.
5, 2002]
Sec. 478.33 Stolen firearms and ammunition.
No person shall transport or ship in interstate or foreign commerce
any stolen firearm or stolen ammunition knowing or having reasonable
cause to believe that the firearm or ammunition was stolen, and no
person shall receive, possess, conceal, store, barter, sell, or dispose
of any stolen firearm or stolen ammunition, or pledge or accept as
security for a loan any stolen firearm or stolen ammunition, which is
moving as, which is a part of, which constitutes, or which has been
shipped or transported in, interstate or foreign commerce, either before
or after it was stolen, knowing or having reasonable cause to believe
that the firearm or ammunition was stolen.
[T.D. ATF-363, 60 FR 17451, Apr. 6, 1995]
Sec. 478.33a Theft of firearms.
No person shall steal or unlawfully take or carry away from the
person or the premises of a person who is licensed to engage in the
business of importing, manufacturing, or dealing in firearms, any
firearm in the licensee's business inventory that has been shipped or
transported in interstate or foreign commerce.
[T.D. ATF-354, 59 FR 7112, Feb. 14, 1994]
Sec. 478.34 Removed, obliterated, or altered serial number.
No person shall knowingly transport, ship, or receive in interstate
or foreign commerce any firearm which has had the importer's or
manufacturer's serial number removed, obliterated, or altered, or
possess or receive any firearm which has had the importer's or
manufacturer's serial number removed, obliterated, or altered and has,
at any time, been shipped or transported in interstate or foreign
commerce.
[T.D. ATF-313, 56 FR 32508, July 17, 1991]
[[Page 74]]
Sec. 478.35 Skeet, trap, target, and similar shooting activities.
Licensing and recordkeeping requirements, including permissible
alternate records, for skeet, trap, target, and similar organized
activities shall be determined by the Director of Industry Operations on
a case by case basis.
Sec. 478.36 Transfer or possession of machine guns.
No person shall transfer or possess a machine gun except:
(a) A transfer to or by, or possession by or under the authority of,
the United States, or any department or agency thereof, or a State, or a
department, agency, or political subdivision thereof. (See Part 479 of
this chapter); or
(b) Any lawful transfer or lawful possession of a machine gun that
was lawfully possessed before May 19, 1986 (See Part 479 of this
chapter).
[T.D. ATF-270, 53 FR 10494, Mar. 31, 1988]
Sec. 478.37 Manufacture, importation and sale of armor piercing ammunition.
No person shall manufacture or import, and no manufacturer or
importer shall sell or deliver, armor piercing ammunition, except:
(a) The manufacture or importation, or the sale or delivery by any
manufacturer or importer, of armor piercing ammunition for the use of
the United States or any department or agency thereof or any State or
any department, agency or political subdivision thereof;
(b) The manufacture, or the sale or delivery by a manufacturer or
importer, of armor piercing ammunition for the purpose of exportation;
or
(c) The sale or delivery by a manufacturer or importer of armor
piercing ammunition for the purposes of testing or experimentation as
authorized by the Director under the provisions of Sec. 478.149.
[T.D. ATF-270, 53 FR 10494, Mar. 31, 1988]
Sec. 478.38 Transportation of firearms.
Notwithstanding any other provision of any law or any rule or
regulation of a State or any political subdivision thereof, any person
who is not otherwise prohibited by this chapter from transporting,
shipping, or receiving a firearm shall be entitled to transport a
firearm for any lawful purpose from any place where such person may
lawfully possess and carry such firearm to any other place where such
person may lawfully possess and carry such firearm if, during such
transportation the firearm is unloaded, and neither the firearm nor any
ammunition being transported is readily accessible or is directly
accessible from the passenger compartment of such transporting vehicle:
Provided, That in the case of a vehicle without a compartment separate
from the driver's compartment the firearm or ammunition shall be
contained in a locked container other than the glove compartment or
console.
[T.D. ATF-270, 53 FR 10494, Mar. 31, 1988]
Sec. 478.39 Assembly of semiautomatic rifles or shotguns.
(a) No person shall assemble a semiautomatic rifle or any shotgun
using more than 10 of the imported parts listed in paragraph (c) of this
section if the assembled firearm is prohibited from importation under
section 925(d)(3) as not being particularly suitable for or readily
adaptable to sporting purposes.
(b) The provisions of this section shall not apply to:
(1) The assembly of such rifle or shotgun for sale or distribution
by a licensed manufacturer to the United States or any department or
agency thereof or to any State or any department, agency, or political
subdivision thereof; or
(2) The assembly of such rifle or shotgun for the purposes of
testing or experimentation authorized by the Director under the
provisions of Sec. 478.151; or
(3) The repair of any rifle or shotgun which had been imported into
or assembled in the United States prior to November 30, 1990, or the
replacement of any part of such firearm.
(c) For purposes of this section, the term imported parts are:
(1) Frames, receivers, receiver castings, forgings or stampings
(2) Barrels
(3) Barrel extensions
(4) Mounting blocks (trunions)
(5) Muzzle attachments
(6) Bolts
(7) Bolt carriers
[[Page 75]]
(8) Operating rods
(9) Gas pistons
(10) Trigger housings
(11) Triggers
(12) Hammers
(13) Sears
(14) Disconnectors
(15) Buttstocks
(16) Pistol grips
(17) Forearms, handguards
(18) Magazine bodies
(19) Followers
(20) Floorplates
[T.D. ATF-346, 58 FR 40589, July 29, 1993]
Sec. 478.39a Reporting theft or loss of firearms.
Each licensee shall report the theft or loss of a firearm from the
licensee's inventory (including any firearm which has been transferred
from the licensee's inventory to a personal collection and held as a
personal firearm for at least 1 year), or from the collection of a
licensed collector, within 48 hours after the theft or loss is
discovered. Licensees shall report thefts or losses by telephoning 1-
800-800-3855 (nationwide toll free number) and by preparing ATF Form
3310.11, Federal Firearms Licensee Theft/Loss Report, in accordance with
the instructions on the form. The original of the report shall be
forwarded to the office specified thereon, and Copy 1 shall be retained
by the licensee as part of the licensee's permanent records. Theft or
loss of any firearm shall also be reported to the appropriate local
authorities.
(Approved by the Office of Management and Budget under control number
1512-0524)
[T.D. ATF-363, 60 FR 17451, Apr. 6, 1995]
Sec. 478.40 Manufacture, transfer, and possession of semiautomatic
assault weapons.
(a) Prohibition. No person shall manufacture, transfer, or possess a
semiautomatic assault weapon.
(b) Exceptions. The provisions of paragraph (a) of this section
shall not apply to:
(1) The possession or transfer of any semiautomatic assault weapon
otherwise lawfully possessed in the United States under Federal law on
September 13, 1994;
(2) Any of the firearms, or replicas or duplicates of the firearms,
specified in 18 U.S.C. 922, Appendix A, as such firearms existed on
October 1, 1993;
(3) Any firearm that--
(i) Is manually operated by bolt, pump, lever, or slide action;
(ii) Has been rendered permanently inoperable; or
(iii) Is an antique firearm;
(4) Any semiautomatic rifle that cannot accept a detachable magazine
that holds more than 5 rounds of ammunition;
(5) Any semiautomatic shotgun that cannot hold more than 5 rounds of
ammunition in a fixed or detachable magazine;
(6) The manufacture for, transfer to, or possession by the United
States or a department or agency of the United States or a State or a
department, agency, or political subdivision of a State, or a transfer
to or possession by a law enforcement officer employed by such an entity
for purposes of law enforcement;
(7) The transfer to a licensee under title I of the Atomic Energy
Act of 1954 (42 U.S.C. 2011 et seq.) for purposes of establishing and
maintaining an on-site physical protection system and security
organization required by Federal law, or possession by an employee or
contractor of such licensee on-site for such purposes or off-site for
purposes of licensee-authorized training or transportation of nuclear
materials;
(8) The possession, by an individual who is retired from service
with a law enforcement agency and is not otherwise prohibited from
receiving a firearm, of a semiautomatic assault weapon transferred to
the individual by the agency upon such retirement;
(9) The manufacture, transfer, or possession of a semiautomatic
assault weapon by a licensed manufacturer or licensed importer for the
purposes of testing or experimentation as authorized by the Director
under the provisions of Sec. 478.153; or
(10) The manufacture, transfer, or possession of a semiautomatic
assault weapon by a licensed manufacturer, licensed importer, or
licensed dealer for the purpose of exportation in compliance with the
Arms Export Control Act (22 U.S.C. 2778).
[[Page 76]]
(c) Manufacture and dealing in semiautomatic assault weapons.
Subject to compliance with the provisions of this part, licensed
manufacturers and licensed dealers in semiautomatic assault weapons may
manufacture and deal in such weapons manufactured after September 13,
1994: Provided, The licensee obtains evidence that the weapons will be
disposed of in accordance with paragraph (b) of this section. Examples
of acceptable evidence include the following:
(1) Contracts between the manufacturer and dealers stating that the
weapons may only be sold to law enforcement agencies, law enforcement
officers, or other purchasers specified in paragraph (b) of this
section;
(2) Copies of purchase orders submitted to the manufacturer or
dealer by law enforcement agencies or other purchasers specified in
paragraph (b) of this section;
(3) Copies of letters submitted to the manufacturer or dealer by
government agencies, law enforcement officers, or other purchasers
specified in paragraph (b) of this section expressing an interest in
purchasing the semiautomatic assault weapons;
(4) Letters from dealers to the manufacturer stating that sales will
only be made to law enforcement agencies, law enforcement officers, or
other purchasers specified in paragraph (b) of this section; and
(5) Letters from law enforcement officers purchasing in accordance
with paragraph (b)(6) of this section and Sec. 478.132.
(Paragraph (c) approved by the Office of Management and Budget under
control number 1512-0526)
[T.D. ATF-363, 60 FR 17451, Apr. 6, 1995]
Sec. 478.40a Transfer and possession of large capacity ammunition
feeding devices.
(a) Prohibition. No person shall transfer or possess a large
capacity ammunition feeding device.
(b) Exceptions. The provisions of paragraph (a) of this section
shall not apply to:
(1) The possession or transfer of any large capacity ammunition
feeding device otherwise lawfully possessed on September 13, 1994;
(2) The manufacture for, transfer to, or possession by the United
States or a department or agency of the United States or a State or a
department, agency, or political subdivision of a State, or a transfer
to or possession by a law enforcement officer employed by such an entity
for purposes of law enforcement;
(3) The transfer to a licensee under title I of the Atomic Energy
Act of 1954 for purposes of establishing and maintaining an on-site
physical protection system and security organization required by Federal
law, or possession by an employee or contractor of such licensee on-site
for such purposes or off-site for purposes of licensee-authorized
training or transportation of nuclear materials;
(4) The possession, by an individual who is retired from service
with a law enforcement agency and is not otherwise prohibited from
receiving ammunition, of a large capacity ammunition feeding device
transferred to the individual by the agency upon such retirement;
(5) The manufacture, transfer, or possession of any large capacity
ammunition feeding device by a manufacturer or importer for the purposes
of testing or experimentation in accordance with Sec. 478.153; or
(6) The manufacture, transfer, or possession of any large capacity
ammunition feeding device by a manufacturer or importer for the purpose
of exportation in accordance with the Arms Export Control Act (22 U.S.C.
2778).
(c) Importation, manufacture, and dealing in large capacity
ammunition feeding devices. Possession and transfer of large capacity
ammunition feeding devices by persons who manufacture, import, or deal
in such devices will be presumed to be lawful if such persons maintain
evidence establishing that the devices are possessed and transferred for
sale to purchasers specified in paragraph (b) of this section. Examples
of acceptable evidence include the following:
(1) Contracts between persons who import or manufacture such devices
and persons who deal in such devices stating that the devices may only
be sold to law enforcement agencies or
[[Page 77]]
other purchasers specified in paragraph (b) of this section;
(2) Copies of purchase orders submitted to persons who manufacture,
import, or deal in such devices by law enforcement agencies or other
purchasers specified in paragraph (b) of this section;
(3) Copies of letters submitted to persons who manufacture, import,
or deal in such devices by government agencies or other purchasers
specified in paragraph (b) of this section expressing an interest in
purchasing the devices;
(4) Letters from persons who deal in such devices to persons who
import or manufacture such devices stating that sales will only be made
to law enforcement agencies or other purchasers specified in paragraph
(b) of this section; and
(5) Letters from law enforcement officers purchasing in accordance
with paragraph (b)(2) of this section and Sec. 478.132.
(Paragraph (c) approved by the Office of Management and Budget under
control number 1512-0526)
[T.D. ATF-363, 60 FR 17452, Apr. 6, 1995, as amended by T.D. ATF-383, 61
FR 39321, July 29, 1996]
Subpart D_Licenses
Sec. 478.41 General.
(a) Each person intending to engage in business as an importer or
manufacturer of firearms or ammunition, or a dealer in firearms shall,
before commencing such business, obtain the license required by this
subpart for the business to be operated. Each person who desires to
obtain a license as a collector of curios or relics may obtain such a
license under the provisions of this subpart.
(b) Each person intending to engage in business as a firearms or
ammunition importer or manufacturer, or dealer in firearms shall file an
application, with the required fee (see Sec. 478.42), with ATF in
accordance with the instructions on the form (see Sec. 478.44), and,
pursuant to Sec. 478.47, receive the license required for such business
from the Chief, National Licensing Center. Except as provided in Sec.
478.50, a license must be obtained for each business and each place at
which the applicant is to do business. A license as an importer or
manufacturer of firearms or ammunition, or a dealer in firearms shall,
subject to the provisions of the Act and other applicable provisions of
law, entitle the licensee to transport, ship, and receive firearms and
ammunition covered by such license in interstate or foreign commerce and
to engage in the business specified by the license, at the location
described on the license, and for the period stated on the license.
However, it shall not be necessary for a licensed importer or a licensed
manufacturer to also obtain a dealer's license in order to engage in
business on the licensed premises as a dealer in the same type of
firearms authorized by the license to be imported or manufactured.
Payment of the license fee as an importer or manufacturer of destructive
devices, ammunition for destructive devices or armor piercing ammunition
or as a dealer in destructive devices includes the privilege of
importing or manufacturing firearms other than destructive devices and
ammunition for other than destructive devices or ammunition other than
armor piercing ammunition, or dealing in firearms other than destructive
devices, as the case may be, by such a licensee at the licensed
premises.
(c) Each person seeking the privileges of a collector licensed under
this part shall file an application, with the required fee (see Sec.
478.42), with ATF in accordance with the instructions on the form (see
Sec. 478.44), and pursuant to Sec. 478.47, receive from the Chief,
National Licensing Center, the license covering the collection of curios
and relics. A separate license may be obtained for each collection
premises, and such license shall, subject to the provisions of the Act
and other applicable provisions of law, entitle the licensee to
transport, ship, receive, and acquire curios and relics in interstate or
foreign commerce, and to make disposition of curios and relics in
interstate or foreign commerce, to any other person licensed under the
provisions of this part, for the period stated on the license.
(d) The collector license provided by this part shall apply only to
transactions related to a collector's activity in acquiring, holding or
disposing of
[[Page 78]]
curios and relics. A collector's license does not authorize the
collector to engage in a business required to be licensed under the Act
or this part. Therefore, if the acquisitions and dispositions of curios
and relics by a collector bring the collector within the definition of a
manufacturer, importer, or dealer under this part, he shall qualify as
such. (See also Sec. 478.93 of this part.)
(18 U.S.C. 847 (84 Stat. 959); 18 U.S.C. 926 (82 Stat. 1226))
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-270, 53 FR 10494, Mar. 31, 1988; T.D. ATF-290,
54 FR 53054, Dec. 27, 1989]
Sec. 478.42 License fees.
Each applicant shall pay a fee for obtaining a firearms license or
ammunition license, a separate fee being required for each business or
collecting activity at each place of such business or activity, as
follows:
(a) For a manufacturer:
(1) Of destructive devices, ammunition for destructive devices or
armor piercing ammunition--$1,000 per year.
(2) Of firearms other than destructive devices--$50 per year.
(3) Of ammunition for firearms other than ammunition for destructive
devices or armor piercing ammunition--$10 per year.
(b) For an importer:
(1) Of destructive devices, ammunition for destructive devices or
armor piercing ammunition--$1,000 per year.
(2) Of firearms other than destructive devices or ammunition for
firearms other than destructive devices or ammunition other than armor
piercing ammunition--$50 per year.
(c) For a dealer:
(1) In destructive devices--$1,000 per year.
(2) Who is not a dealer in destructive devices--$200 for 3 years,
except that the fee for renewal of a valid license shall be $90 for 3
years.
(d) For a collector of curios and relics--$10 per year.
[T.D. ATF-270, 53 FR 10494, Mar. 31, 1988, as amended by T.D. ATF-354,
59 FR 7112, Feb. 14, 1994]
Sec. 478.43 License fee not refundable.
No refund of any part of the amount paid as a license fee shall be
made where the operations of the licensee are, for any reason,
discontinued during the period of an issued license. However, the
license fee submitted with an application for a license shall be
refunded if that application is denied or withdrawn by the applicant
prior to being acted upon.
[T.D. ATF-270, 53 FR 10494, Mar. 31, 1988]
Sec. 478.44 Original license.
(a)(1) Any person who intends to engage in business as a firearms or
ammunition importer or manufacturer, or firearms dealer, or who has not
previously been licensed under the provisions of this part to so engage
in business, or who has not timely submitted an application for renewal
of the previous license issued under this part, must file an application
for license, ATF Form 7 (Firearms), in duplicate, with ATF in accordance
with the instructions on the form. The application must:
(i) Be executed under the penalties of perjury and the penalties
imposed by 18 U.S.C. 924;
(ii) Include a photograph and fingerprints as required in the
instructions on the form;
(iii) If the applicant (including, in the case of a corporation,
partnership, or association, any individual possessing, directly or
indirectly, the power to direct or cause the direction of the management
and policies of the corporation, partnership, or association) is a
nonimmigrant alien, applicable documentation demonstrating that the
nonimmigrant alien falls within an exception to or has obtained a waiver
from the nonimmigrant alien provision (e.g., a hunting license or permit
lawfully issued in the United States; waiver);
(iv) Be accompanied by a completed ATF Form 5300.37 (Certification
of Compliance with State and Local Law) and ATF Form 5300.36
(Notification of Intent to Apply for a Federal Firearms License); and
(v) Include the appropriate fee in the form of money order or check
made
[[Page 79]]
payable to the Bureau of Alcohol, Tobacco and Firearms.
(2) ATF Forms 7 (Firearms), ATF Forms 5300.37, and ATF Forms 5300.36
may be obtained by contacting any ATF office.
(b) Any person who desires to obtain a license as a collector under
the Act and this part, or who has not timely submitted an application
for renewal of the previous license issued under this part, shall file
an application, ATF Form 7CR (Curios and Relics), with ATF in accordance
with the instructions on the form. If the applicant (including, in the
case of a corporation, partnership, or association, any individual
possessing, directly or indirectly, the power to direct or cause the
direction of the management and policies of the corporation,
partnership, or association) is a nonimmigrant alien, the application
must include applicable documentation demonstrating that the
nonimmigrant alien falls within an exception to or has obtained a waiver
from the nonimmigrant alien provision (e.g., a hunting license or permit
lawfully issued in the United States; waiver). The application must be
executed under the penalties of perjury and the penalties imposed by 18
U.S.C. 924. The application shall be accompanied by a completed ATF Form
5300.37 and ATF Form 5300.36 and shall include the appropriate fee in
the form of a money order or check made payable to the Bureau of
Alcohol, Tobacco and Firearms. ATF Forms 7CR (Curios and Relics), ATF
Forms 5300.37, and ATF Forms 5300.36 may be obtained by contacting any
ATF office.
(Paragraphs (a) and (b) approved by the Office of Management and Budget
under control number 1512-0570)
[T.D. ATF-363, 60 FR 17453, Apr. 6, 1995, as amended by T.D. ATF-471, 67
FR 5425, Feb. 5, 2002]
Sec. 478.45 Renewal of license.
If a licensee intends to continue the business or activity described
on a license issued under this part during any portion of the ensuing
year, the licensee shall, unless otherwise notified in writing by the
Chief, National Licensing Center, execute and file with ATF prior to the
expiration of the license an application for a license renewal, ATF Form
8 Part II, accompanied by a completed ATF Form 5300.37 and ATF Form
5300.36, in accordance with the instructions on the forms, and the
required fee. If the applicant is a nonimmigrant alien, the application
must include applicable documentation demonstrating that the
nonimmigrant alien falls within an exception to or has obtained a waiver
from the nonimmigrant alien provision (e.g., a hunting license or permit
lawfully issued in the United States; waiver). The Chief, National
Licensing Center, may, in writing, require the applicant for license
renewal to also file completed ATF Form 7 or ATF Form 7CR in the manner
required by Sec. 478.44. In the event the licensee does not timely file
an ATF Form 8 Part II, the licensee must file an ATF Form 7 or ATF Form
7CR as required by Sec. 478.44, and obtain the required license before
continuing business or collecting activity. If an ATF Form 8 Part II is
not timely received through the mails, the licensee should so notify the
Chief, National Licensing Center.
(Approved by the Office of Management and Budget under control number
1512-0570)
[T.D. ATF-363, 60 FR 17453, Apr. 6, 1995, as amended by T.D. ATF-471, 67
FR 5426, Feb. 5, 2002]
Sec. 478.46 Insufficient fee.
If an application is filed with an insufficient fee, the application
and any fee submitted will be returned to the applicant.
(18 U.S.C. 847 (84 Stat. 959); 18 U.S.C. 926 (82 Stat. 1226))
[T.D. ATF-200, 50 FR 10498, Mar. 15, 1985]
Sec. 478.47 Issuance of license.
(a) Upon receipt of a properly executed application for a license on
ATF Form 7, ATF Form 7CR, or ATF Form 8 Part II, the Chief, National
Licensing Center, shall, upon finding through further inquiry or
investigation, or otherwise, that the applicant is qualified, issue the
appropriate license. Each license shall bear a serial number and such
number may be assigned to the licensee to whom issued for so long as the
licensee maintains continuity of renewal in the same location (State).
[[Page 80]]
(b) The Chief, National Licensing Center, shall approve a properly
executed application for license on ATF Form 7, ATF Form 7CR, or ATF
Form 8 Part II, if:
(1) The applicant is 21 years of age or over;
(2) The applicant (including, in the case of a corporation,
partnership, or association, any individual possessing, directly or
indirectly, the power to direct or cause the direction of the management
and policies of the corporation, partnership, or association) is not
prohibited under the provisions of the Act from shipping or transporting
in interstate or foreign commerce, or possessing in or affecting
commerce, any firearm or ammunition, or from receiving any firearm or
ammunition which has been shipped or transported in interstate or
foreign commerce;
(3) The applicant has not willfully violated any of the provisions
of the Act or this part;
(4) The applicant has not willfully failed to disclose any material
information required, or has not made any false statement as to any
material fact, in connection with his application;
(5) The applicant has in a State (i) premises from which he conducts
business subject to license under the Act or from which he intends to
conduct such business within a reasonable period of time, or (ii) in the
case of a collector, premises from which he conducts his collecting
subject to license under the Act or from which he intends to conduct
such collecting within a reasonable period of time; and
(6) The applicant has filed an ATF Form 5300.37 (Certification of
Compliance with State and Local Law) with ATF in accordance with the
instructions on the form certifying under the penalties of perjury
that--
(i) The business to be conducted under the license is not prohibited
by State or local law in the place where the licensed premises are
located;
(ii) Within 30 days after the application is approved the business
will comply with the requirements of State and local law applicable to
the conduct of business;
(iii) The business will not be conducted under the license until the
requirements of State and local law applicable to the business have been
met; and
(iv) The applicant has completed and sent or delivered ATF F 5300.36
(Notification of Intent to Apply for a Federal Firearms License) to the
chief law enforcement officer of the locality in which the premises are
located, which indicates that the applicant intends to apply for a
Federal firearms license. For purposes of this paragraph, the ``chief
law enforcement officer'' is the chief of police, the sheriff, or an
equivalent officer.
(c) The Chief, National Licensing Center, shall approve or the
Director of Industry Operations shall deny an application for a license
within the 60-day period beginning on the date the properly executed
application was received: Provided, That when an applicant for license
renewal is a person who is, pursuant to the provisions of Sec. 478.78,
Sec. 478.143, or Sec. 478.144, conducting business or collecting
activity under a previously issued license, action regarding the
application will be held in abeyance pending the completion of the
proceedings against the applicant's existing license or license
application, final determination of the applicant's criminal case, or
final action by the Director on an application for relief submitted
pursuant to Sec. 478.144, as the case may be.
(d) When the Director of Industry Operations or the Chief, National
Licensing Center fails to act on an application for a license within the
60-day period prescribed by paragraph (c) of this section, the applicant
may file an action under section 1361 of title 28, United States Code,
to compel ATF to act upon the application.
(Paragraph (b)(6) approved by the Office of Management and Budget under
control numbers 1512-0522 and 1512-0523)
(18 U.S.C. 847 (84 Stat. 959); 18 U.S.C. 926 (82 Stat. 1226))
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-135, 48 FR 24068, May 31, 1983; T.D. ATF-241, 51
FR 39619, Oct. 29, 1986; T.D. ATF-270, 53 FR 10495, Mar. 31, 1988; T.D.
ATF-290, 54 FR 53054, Dec. 27, 1989; T.D. ATF-363, 60 FR 17453, Apr. 6,
1995]
[[Page 81]]
Sec. 478.48 Correction of error on license.
(a) Upon receipt of a license issued under the provisions of this
part, each licensee shall examine same to ensure that the information
contained thereon is accurate. If the license is incorrect, the licensee
shall return the license to the Chief, National Licensing Center, with a
statement showing the nature of the error. The Chief, National Licensing
Center, shall correct the error, if the error was made in his office,
and return the license. However, if the error resulted from information
contained in the licensee's application for the license, the Chief,
National Licensing Center, shall require the licensee to file an amended
application setting forth the correct information and a statement
explaining the error contained in the application. Upon receipt of the
amended application and a satisfactory explanation of the error, the
Chief, National Licensing Center, shall make the correction on the
license and return same to the licensee.
(b) When the Chief, National Licensing Center, finds through any
means other than notice from the licensee that an incorrect license has
been issued, the Chief, National Licensing Center, may require the
holder of the incorrect license to (1) return the license for
correction, and (2) if the error resulted from information contained in
the licensee's application for the license, the Chief, National
Licensing Center, shall require the licensee to file an amended
application setting forth the correct information, and a statement
explaining the error contained in the application. The Chief, National
Licensing Center, then shall make the correction on the license and
return same to the licensee.
[33 FR 18555, Dec. 14, 1968, unless otherwise noted. Redesignated at 40
FR 16835, Apr. 15, 1975, and amended by T.D. ATF-290, 54 FR 53054, Dec.
27, 1989]
Sec. 478.49 Duration of license.
The license entitles the person to whom issued to engage in the
business or activity specified on the license, within the limitations of
the Act and the regulations contained in this part, for a three year
period, unless terminated sooner.
[T.D. ATF-270, 53 FR 10495, Mar. 31, 1988]
Sec. 478.50 Locations covered by license.
The license covers the class of business or the activity specified
in the license at the address specified therein. A separate license must
be obtained for each location at which a firearms or ammunition business
or activity requiring a license under this part is conducted except:
(a) No license is required to cover a separate warehouse used by the
licensee solely for storage of firearms or ammunition if the records
required by this part are maintained at the licensed premises served by
such warehouse;
(b) A licensed collector may acquire curios and relics at any
location, and dispose of curios or relics to any licensee or to other
persons who are residents of the State where the collector's license is
held and the disposition is made;
(c) A licensee may conduct business at a gun show pursuant to the
provision of Sec. 478.100; or
(d) A licensed importer, manufacturer, or dealer may engage in the
business of dealing in curio or relic firearms with another licensee at
any location pursuant to the provisions of Sec. 478.100.
[T.D. ATF-191, 49 FR 46890, Nov. 29, 1984, as amended by T.D. ATF-401,
63 FR 35523, June 30, 1998]
Sec. 478.51 License not transferable.
Licenses issued under this part are not transferable. In the event
of the lease, sale, or other transfer of the operations authorized by
the license, the successor must obtain the license required by this part
prior to commencing such operations. However, for rules on right of
succession, see Sec. 478.56.
Sec. 478.52 Change of address.
(a) Licensees may during the term of their current license remove
their business or activity to a new location at which they intend
regularly to carry on such business or activity by filing an Application
for an Amended Federal Firearms License, ATF Form 5300.38, in
[[Page 82]]
duplicate, not less than 30 days prior to such removal with the Chief,
National Licensing Center. The ATF Form 5300.38 shall be completed in
accordance with the instructions on the form. The application must be
executed under the penalties of perjury and penalties imposed by 18
U.S.C. 924. The application shall be accompanied by the licensee's
original license. The Chief, National Licensing Center, may, in writing,
require the applicant for an amended license to also file completed ATF
Form 7 or ATF Form 7CR, or portions thereof, in the manner required by
Sec. 478.44.
(b) Upon receipt of a properly executed application for an amended
license, the Chief, National Licensing Center, shall, upon finding
through further inquiry or investigation, or otherwise, that the
applicant is qualified at the new location, issue the amended license,
and return it to the applicant. The license shall be valid for the
remainder of the term of the original license. The Chief, National
Licensing Center, shall, if the applicant is not qualified, refer the
application for amended license to the Director of Industry Operations
for denial in accordance with Sec. 478.71.
(Approved by the Office of Management and Budget under control number
1512-0525)
[T.D. ATF-363, 60 FR 17453, Apr. 6, 1995]
Sec. 478.53 Change in trade name.
A licensee continuing to conduct business at the location shown on
his license is not required to obtain a new license by reason of a mere
change in trade name under which he conducts his business: Provided,
That such licensee furnishes his license for endorsement of such change
to the Chief, National Licensing Center within 30 days from the date the
licensee begins his business under the new trade name.
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-48, 44 FR 55842, Sept. 28, 1979; T.D. ATF-290,
54 FR 53055, Dec. 27, 1989]
Sec. 478.54 Change of control.
In the case of a corporation or association holding a license under
this part, if actual or legal control of the corporation or association
changes, directly or indirectly, whether by reason of change in stock
ownership or control (in the licensed corporation or in any other
corporation), by operations of law, or in any other manner, the licensee
shall, within 30 days of such change, give written notification thereof,
executed under the penalties of perjury, to the Chief, National
Licensing Center. Upon expiration of the license, the corporation or
association must file a Form 7 (Firearms) as required by Sec. 478.44.
[33 FR 18555, Dec. 14, 1968, unless otherwise noted. Redesignated at 40
FR 16835, Apr. 15, 1975, and amended by T.D. ATF-290, 54 FR 53054, Dec.
27, 1989]
Sec. 478.55 Continuing partnerships.
Where, under the laws of the particular State, the partnership is
not terminated on death or insolvency of a partner, but continues until
the winding up of the partnership affairs is completed, and the
surviving partner has the exclusive right to the control and possession
of the partnership assets for the purpose of liquidation and settlement,
such surviving partner may continue to operate the business under the
license of the partnership. If such surviving partner acquires the
business on completion of the settlement of the partnership, he shall
obtain a license in his own name from the date of acquisition, as
provided in Sec. 478.44. The rule set forth in this section shall also
apply where there is more than one surviving partner.
Sec. 478.56 Right of succession by certain persons.
(a) Certain persons other than the licensee may secure the right to
carry on the same firearms or ammunition business at the same address
shown on, and for the remainder of the term of, a current license. Such
persons are:
(1) The surviving spouse or child, or executor, administrator, or
other legal representative of a deceased licensee; and
(2) A receiver or trustee in bankruptcy, or an assignee for benefit
of creditors.
(b) In order to secure the right provided by this section, the
person or persons continuing the business shall furnish the license for
that business for
[[Page 83]]
endorsement of such succession to the Chief, National Licensing Center,
within 30 days from the date on which the successor begins to carry on
the business.
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-48, 44 FR 55842, Sept. 28, 1979; T.D. ATF-290,
54 FR 53055, Dec. 27, 1989]
Sec. 478.57 Discontinuance of business.
(a) Where a firearm or ammunition business is either discontinued or
succeeded by a new owner, the owner of the business discontinued or
succeeded shall within 30 days thereof furnish to the Chief, National
Licensing Center notification of the discontinuance or succession. (See
also Sec. 478.127.)
(b) Since section 922(v), Title 18, U.S.C., makes it unlawful to
transfer or possess a semiautomatic assault weapon, except as provided
in the law, any licensed manufacturer, licensed importer, or licensed
dealer intending to discontinue business shall, prior to going out of
business, transfer in compliance with the provisions of this part any
semiautomatic assault weapon manufactured or imported after September
13, 1994, to a person specified in Sec. 478.40(b), or, subject to the
provisions of Sec. Sec. 478.40(c) and 478.132, a licensed manufacturer,
a licensed importer, or a licensed dealer.
(c) Since section 922(w), Title 18, U.S.C., makes it unlawful to
transfer or possess a large capacity ammunition feeding device, except
as provided in the law, any person who manufactures, imports, or deals
in such devices and who intends to discontinue business shall, prior to
going out of business, transfer in compliance with the provisions of
this part any large capacity ammunition feeding device manufactured
after September 13, 1994, to a person specified in Sec. 478.40a(b), or,
subject to the provisions of Sec. Sec. 478.40a(c) and 478.132, a person
who manufactures, imports, or deals in such devices.
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-48, 44 FR 55842, Sept. 28, 1979; T.D. ATF-290,
54 FR 53055, Dec. 27, 1989; T.D. ATF-363, 60 FR 17453, Apr. 6, 1995;
T.D. ATF-383, 61 FR 39321, July 29, 1996]
Sec. 478.58 State or other law.
A license issued under this part confers no right or privilege to
conduct business or activity contrary to State or other law. The holder
of such a license is not by reason of the rights and privileges granted
by that license immune from punishment for operating a firearm or
ammunition business or activity in violation of the provisions of any
State or other law. Similarly, compliance with the provisions of any
State or other law affords no immunity under Federal law or regulations.
Sec. 478.59 Abandoned application.
Upon receipt of an incomplete or improperly executed application on
ATF form 7 (5310.12), or ATF Form 8 (5310.11) Part II, the applicant
shall be notified of the deficiency in the application. If the
application is not corrected and returned within 30 days following the
date of notification, the application shall be considered as having been
abandoned and the license fee returned.
[T.D. ATF-135, 48 FR 24068, May 31, 1983]
Sec. 478.60 Certain continuances of business.
A licensee who furnishes his license to the Chief, National
Licensing Center for correction or endorsement in compliance with the
provisions contained in this subpart may continue his operations while
awaiting its return.
[33 FR 18555, Dec. 14, 1968, unless otherwise noted. Redesignated at 40
FR 16835, Apr. 15, 1975, and amended by T.D. ATF-290, 54 FR 53054, Dec.
27, 1989]
Subpart E_License Proceedings
Sec. 478.71 Denial of an application for license.
Whenever the Director of Industry Operations has reason to believe
that an applicant is not qualified to receive a license under the
provisions of Sec. 478.47, he may issue a notice of denial, on Form
4498, to the applicant. The notice shall set forth the matters of fact
and law relied upon in determining that the application should be
denied, and shall afford the applicant 15 days from the date of receipt
of the notice in which to request a hearing to review the denial. If no
request for a hearing
[[Page 84]]
is filed within such time, the application shall be disapproved and a
copy, so marked, shall be returned to the applicant.
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-270, 53 FR 10495, Mar. 31, 1988]
Sec. 478.72 Hearing after application denial.
If the applicant for an original or renewal license desires a
hearing to review the denial of his application, he shall file a request
therefor, in duplicate, with the Director of Industry Operations within
15 days after receipt of the notice of denial. The request should
include a statement of the reasons therefor. On receipt of the request,
the Director of Industry Operations shall, as expeditiously as possible,
make the necessary arrangements for the hearing and advise the applicant
of the date, time, location, and the name of the officer before whom the
hearing will be held. Such notification shall be made not less than 10
days in advance of the date set for the hearing. On conclusion of the
hearing and consideration of all relevant facts and circumstances
presented by the applicant or his representative, the Director of
Industry Operations shall render his decision confirming or reversing
the denial of the application. If the decision is that the denial should
stand, a certified copy of the Director of Industry Operations findings
and conclusions shall be furnished to the applicant with a final notice
of denial, Form 4501. A copy of the application, marked ``Disapproved,''
will be returned to the applicant. If the decision is that the license
applied for should be issued, the applicant shall be so notified, in
writing, and the license shall be issued as provided by Sec. 478.47.
Sec. 478.73 Notice of revocation, suspension, or imposition of civil fine.
(a) Basis for action. Whenever the Director of Industry Operations
has reason to believe that a licensee has willfully violated any
provision of the Act or this part, a notice of revocation of the
license, ATF Form 4500, may be issued. In addition, a notice of
revocation, suspension, or imposition of a civil fine may be issued on
ATF Form 4500 whenever the Director of Industry Operations has reason to
believe that a licensee has knowingly transferred a firearm to an
unlicensed person and knowingly failed to comply with the requirements
of 18 U.S.C. 922(t)(1) with respect to the transfer and, at the time
that the transferee most recently proposed the transfer, the national
instant criminal background check system was operating and information
was available to the system demonstrating that the transferee's receipt
of a firearm would violate 18 U.S.C. 922(g) or 922(n) or State law.
(b) Issuance of notice. The notice shall set forth the matters of
fact constituting the violations specified, dates, places, and the
sections of law and regulations violated. The Director of Industry
Operations shall afford the licensee 15 days from the date of receipt of
the notice in which to request a hearing prior to suspension or
revocation of the license, or imposition of a civil fine. If the
licensee does not file a timely request for a hearing, the Director of
Industry Operations shall issue a final notice of suspension or
revocation and/or imposition of a civil fine on ATF Form 4501, as
provided in Sec. 478.74.
[T.D. ATF-415, 63 FR 58278, Oct. 29, 1998]
Sec. 478.74 Request for hearing after notice of suspension,
revocation, or imposition of civil fine.
If a licensee desires a hearing after receipt of a notice of
suspension or revocation of a license, or imposition of a civil fine,
the licensee shall file a request, in duplicate, with the Director of
Industry Operations within 15 days after receipt of the notice of
suspension or revocation of a license, or imposition of a civil fine. On
receipt of such request, the Director of Industry Operations shall, as
expeditiously as possible, make necessary arrangements for the hearing
and advise the licensee of the date, time, location and the name of the
officer before whom the hearing will be held. Such notification shall be
made no less than 10 days in advance of the date set for the hearing. On
conclusion of the hearing and consideration of all the relevant
presentations made by the licensee or the licensee's representative, the
Director of Industry Operations shall render a decision and
[[Page 85]]
shall prepare a brief summary of the findings and conclusions on which
the decision is based. If the decision is that the license should be
revoked, or, in actions under 18 U.S.C. 922(t)(5), that the license
should be revoked or suspended, and/or that a civil fine should be
imposed, a certified copy of the summary shall be furnished to the
licensee with the final notice of revocation, suspension, or imposition
of a civil fine on ATF Form 4501. If the decision is that the license
should not be revoked, or in actions under 18 U.S.C. 922(t)(5), that the
license should not be revoked or suspended, and a civil fine should not
be imposed, the licensee shall be notified in writing.
[T.D. ATF-415, 63 FR 58278, Oct. 29, 1998]
Sec. 478.75 Service on applicant or licensee.
All notices and other documents required to be served on an
applicant or licensee under this subpart shall be served by certified
mail or by personal delivery. Where service is by certified mail, a
signed duplicate original copy of the formal document shall be mailed,
with return receipt requested, to the applicant or licensee at the
address stated in his application or license, or at his last known
address. Where service is by personal delivery, a signed duplicate
original copy of the formal document shall be delivered to the applicant
or licensee, or, in the case of a corporation, partnership, or
association, by delivering it to an officer, manager, or general agent
thereof, or to its attorney of record.
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16835, Apr. 15, 1975,
and further redesignated by T.D. ATF-241, 51 FR 39619, Oct. 29, 1986;
T.D. ATF-270, 53 FR 10496, Mar. 31, 1988]]
Sec. 478.76 Representation at a hearing.
An applicant or licensee may be represented by an attorney,
certified public accountant, or other person recognized to practice
before the Bureau of Alcohol, Tobacco and Firearms as provided in 31 CFR
Part 8 (Practice Before the Bureau of Alcohol, Tobacco and Firearms), if
he has otherwise complied with the applicable requirements of 26 CFR
601.521 through 601.527 (conference and practice requirements for
alcohol, tobacco, and firearms activities) of this chapter. The Director
of Industry Operations may be represented in proceedings by an attorney
in the office of the Assistant Chief Counsel or Division Counsel who is
authorized to execute and file motions, briefs and other papers in the
proceeding, on behalf of the Director of Industry Operations, in his own
name as ``Attorney for the Government.''
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-48, 44 FR 55842, Sept. 28, 1979; T.D. ATF-92, 46
FR 46916, Sept. 23, 1981. Further redesignated by T.D. ATF-241, 51 FR
39619, Oct. 29, 1986; T.D. ATF-270, 53 FR 10496, Mar. 31, 1988]
Sec. 478.77 Designated place of hearing.
The designated place of the hearing shall be a location convenient
to the aggrieved party.
[T.D. ATF-270, 53 FR 10496, Mar. 31, 1988]
Sec. 478.78 Operations by licensee after notice.
In any case where denial, suspension, or revocation proceedings are
pending before the Bureau of Alcohol, Tobacco and Firearms, or notice of
denial, suspension, or revocation has been served on the licensee and he
has filed timely request for a hearing, the license in the possession of
the licensee shall remain in effect even though such license has
expired, or the suspension or revocation date specified in the notice of
revocation on Form 4500 served on the licensee has passed: Provided,
That with respect to a license that has expired, the licensee has timely
filed an application for the renewal of his license. If a licensee is
dissatisfied with a posthearing decision revoking or suspending the
license or denying the application or imposing a civil fine, as the case
may be, he may, pursuant to 18 U.S.C. 923(f)(3), within 60 days after
receipt of the final notice denying the application or revoking or
suspending the license or imposing a civil fine, file a petition for
judicial review of such action. Such petition should be filed with the
U.S. district court for the district in which the applicant or licensee
resides or has his principal place of business. In such case, when the
Director of Industry Operations finds that justice so requires, he may
postpone
[[Page 86]]
the effective date of suspension or revocation of a license or authorize
continued operations under the expired license, as applicable, pending
judicial review.
[T.D. ATF-415, 63 FR 58278, Oct. 29, 1998]
Subpart F_Conduct of Business
Sec. 478.91 Posting of license.
Any license issued under this part shall be kept posted and kept
available for inspection on the premises covered by the license.
Sec. 478.92 How must licensed manufacturers and licensed importers
identify firearms, armor piercing ammunition, and large capacity
ammunition feeding devices?
(a)(1) Firearms. You, as a licensed manufacturer or licensed
importer of firearms, must legibly identify each firearm manufactured or
imported as follows:
(i) By engraving, casting, stamping (impressing), or otherwise
conspicuously placing or causing to be engraved, cast, stamped
(impressed) or placed on the frame or receiver thereof an individual
serial number. The serial number must be placed in a manner not
susceptible of being readily obliterated, altered, or removed, and must
not duplicate any serial number placed by you on any other firearm. For
firearms manufactured or imported on and after January 30, 2002, the
engraving, casting, or stamping (impressing) of the serial number must
be to a minimum depth of .003 inch and in a print size no smaller than
\1/16\ inch; and
(ii) By engraving, casting, stamping (impressing), or otherwise
conspicuously placing or causing to be engraved, cast, stamped
(impressed) or placed on the frame, receiver, or barrel thereof certain
additional information. This information must be placed in a manner not
susceptible of being readily obliterated, altered, or removed. For
firearms manufactured or imported on and after January 30, 2002, the
engraving, casting, or stamping (impressing) of this information must be
to a minimum depth of .003 inch. The additional information includes:
(A) The model, if such designation has been made;
(B) The caliber or gauge;
(C) Your name (or recognized abbreviation) and also, when
applicable, the name of the foreign manufacturer;
(D) In the case of a domestically made firearm, the city and State
(or recognized abbreviation thereof) where you as the manufacturer
maintain your place of business; and
(E) In the case of an imported firearm, the name of the country in
which it was manufactured and the city and State (or recognized
abbreviation thereof) where you as the importer maintain your place of
business. For additional requirements relating to imported firearms, see
Customs regulations at 19 CFR part 134.
(2) Firearm frames or receivers. A firearm frame or receiver that is
not a component part of a complete weapon at the time it is sold,
shipped, or otherwise disposed of by you must be identified as required
by this section.
(3) Special markings for semiautomatic assault weapons, effective
July 5, 1995. In the case of any semiautomatic assault weapon
manufactured after September 13, 1994, you must mark the frame or
receiver ``RESTRICTED LAW ENFORCEMENT/GOVERNMENT USE ONLY'' or, in the
case of weapons manufactured for export, ``FOR EXPORT ONLY,'' in a
manner not susceptible of being readily obliterated, altered, or
removed. For weapons manufactured or imported on and after January 30,
2002, the engraving, casting, or stamping (impressing) of the special
markings prescribed in this paragraph (a)(3) must be to a minimum depth
of .003 inch.
(4) Exceptions. (i) Alternate means of identification. The Director
may authorize other means of identification upon receipt of a letter
application from you, submitted in duplicate, showing that such other
identification is reasonable and will not hinder the effective
administration of this part.
(ii) Destructive devices. In the case of a destructive device, the
Director may authorize other means of identifying that weapon upon
receipt of a letter application from you, submitted in duplicate,
showing that engraving, casting, or stamping (impressing) such a weapon
would be dangerous or impracticable.
[[Page 87]]
(iii) Machine guns, silencers, and parts. Any part defined as a
machine gun, firearm muffler, or firearm silencer in Sec. 478.11, that
is not a component part of a complete weapon at the time it is sold,
shipped, or otherwise disposed of by you, must be identified as required
by this section. The Director may authorize other means of
identification of parts defined as machine guns other than frames or
receivers and parts defined as mufflers or silencers upon receipt of a
letter application from you, submitted in duplicate, showing that such
other identification is reasonable and will not hinder the effective
administration of this part.
(5) Measurement of height and depth of markings. The depth of all
markings required by this section will be measured from the flat surface
of the metal and not the peaks or ridges. The height of serial numbers
required by paragraph (a)(1)(i) of this section will be measured as the
distance between the latitudinal ends of the character impression
bottoms (bases).
(b) Armor piercing ammunition--(1) Marking of ammunition. Each
licensed manufacturer or licensed importer of armor piercing ammunition
shall identify such ammunition by means of painting, staining or dying
the exterior of the projectile with an opaque black coloring. This
coloring must completely cover the point of the projectile and at least
50 percent of that portion of the projectile which is visible when the
projectile is loaded into a cartridge case.
(2) Labeling of packages. Each licensed manufacturer or licensed
importer of armor piercing ammunition shall clearly and conspicuously
label each package in which armor piercing ammunition is contained,
e.g., each box, carton, case, or other container. The label shall
include the words ``ARMOR PIERCING'' in block letters at least \1/4\
inch in height. The lettering shall be located on the exterior surface
of the package which contains information concerning the caliber or
gauge of the ammunition. There shall also be placed on the same surface
of the package in block lettering at least \1/8\ inch in height the
words ``FOR GOVERNMENTAL ENTITIES OR EXPORTATION ONLY.'' The statements
required by this subparagraph shall be on a contrasting background.
(c) Large capacity ammunition feeding devices manufactured after
September 13, 1994. (1) Each person who manufactures or imports any
large capacity ammunition feeding device manufactured after September
13, 1994, shall legibly identify each such device with a serial number.
Such person may use the same serial number for all large capacity
ammunition feeding devices produced.
(i) Additionally, in the case of a domestically made large capacity
ammunition feeding device, such device shall be marked with the name,
city and State (or recognized abbreviation thereof) of the manufacturer;
(ii) And in the case of an imported large capacity ammunition
feeding device, such device shall be marked:
(A) With the name of the manufacturer, country of origin, and,
(B) Effective July 5, 1995, the name, city and State (or recognized
abbreviation thereof) of the importer.
(iii) Further, large capacity ammunition feeding devices
manufactured after September 13, 1994, shall be marked ``RESTRICTED LAW
ENFORCEMENT/GOVERNMENT USE ONLY'' or, in the case of devices
manufactured or imported for export, effective July 5, 1995, ``FOR
EXPORT ONLY.''
(2) All markings required by this paragraph (c) shall be cast,
stamped, or engraved on the exterior of the device. In the case of a
magazine, the markings shall be placed on the magazine body.
(3) Exceptions--(i) Metallic links. Persons who manufacture or
import metallic links for use in the assembly of belted ammunition are
only required to place the identification marks prescribed in paragraph
(c)(1) of this section on the containers used for the packaging of the
links.
(ii) Alternate means of identification. The Director may authorize
other means of identifying large capacity ammunition feeding devices
upon receipt of a letter application, in duplicate, from the
manufacturer or importer showing that such other identification is
reasonable and will not
[[Page 88]]
hinder the effective administration of this part.
(Approved by the Office of Management and Budget under control number
1512-0550)
[T.D. ATF-270, 53 FR 10496, Mar. 31, 1988, as amended by T.D. ATF-363,
60 FR 17454, Apr. 6, 1995; T.D. ATF-383, 61 FR 39321, July 29, 1996;
T.D. ATF-396, 63 FR 12646, Mar. 16, 1998; T.D. ATF-461, 66 FR 40600,
Aug. 3, 2001]
Sec. 478.93 Authorized operations by a licensed collector.
The license issued to a collector of curios or relics under the
provisions of this part shall cover only transactions by the licensed
collector in curios and relics. The collector's license is of no force
or effect and a licensed collector is of the same status under the Act
and this part as a nonlicensee with respect to (a) any acquisition or
disposition of firearms other than curios or relics, or any
transportation, shipment, or receipt of firearms other than curios or
relics in interstate or foreign commerce, and (b) any transaction with a
nonlicensee involving any firearm other than a curio or relic. (See also
Sec. 478.50.) A collectors license is not necessary to receive or
dispose of ammunition, and a licensed collector is not precluded by law
from receiving or disposing of armor piercing ammunition. However, a
licensed collector may not dispose of any ammunition to a person
prohibited from receiving or possessing ammunition (see Sec.
478.99(c)). Any licensed collector who disposes of armor piercing
ammunition must record the disposition as required by Sec. 478.125 (a)
and (b).
[T.D. ATF-270, 53 FR 10496, Mar. 31, 1988]
Sec. 478.94 Sales or deliveries between licensees.
A licensed importer, licensed manufacturer, or licensed dealer
selling or otherwise disposing of firearms, and a licensed collector
selling or otherwise disposing of curios or relics, to another licensee
shall verify the identity and licensed status of the transferee prior to
making the transaction. Verification shall be established by the
transferee furnishing to the transferor a certified copy of the
transferee's license and by such other means as the transferor deems
necessary: Provided, That it shall not be required (a) for a transferee
who has furnished a certified copy of its license to a transferor to
again furnish such certified copy to that transferor during the term of
the transferee's current license, (b) for a licensee to furnish a
certified copy of its license to another licensee if a firearm is being
returned either directly or through another licensee to such licensee
and (c) for licensees of multilicensed business organizations to furnish
certified copies of their licenses to other licensed locations operated
by such organization: Provided further, That a multilicensed business
organization may furnish to a transferor, in lieu of a certified copy of
each license, a list, certified to be true, correct and complete,
containing the name, address, license number, and the date of license
expiration of each licensed location operated by such organization, and
the transferor may sell or otherwise dispose of firearms as provided by
this section to any licensee appearing on such list without requiring a
certified copy of a license therefrom. A transferor licensee who has the
certified information required by this section may sell or dispose of
firearms to a licensee for not more than 45 days following the
expiration date of the transferee's license.
(Approved by the Office of Management and Budget under control number
1512-0387)
[T.D. ATF-270, 53 FR 10496, Mar. 31, 1988]
Sec. 478.95 Certified copy of license.
The license furnished to each person licensed under the provisions
of this part contains a purchasing certification statement. This
original license may be reproduced and the reproduction then certified
by the licensee for use pursuant to Sec. 178.94. If the licensee
desires an additional copy of the license for certification (instead of
making a reproduction of the original license), the licensee may submit
a request, in writing, for a certified copy or copies of the license to
the Chief, National Licensing Center. The request must set forth the
name, trade name (if any) and address of the licensee, and the number of
license copies desired. There is a charge of $1 for each copy. The fee
paid for copies of the license must accompany the request for copies.
[[Page 89]]
The fee may be paid by (a) cash, or (b) money order or check made
payable to the Bureau of Alcohol, Tobacco and Firearms.
(Approved by the Office of Management and Budget under control number
1512-0387)
[T.D. ATF-270, 53 FR 10497, Mar. 31, 1988, as amended by T.D. ATF-290,
54 FR 53055, Dec. 27, 1989]
Sec. 478.96 Out-of-State and mail order sales.
(a) The provisions of this section shall apply when a firearm is
purchased by or delivered to a person not otherwise prohibited by the
Act from purchasing or receiving it.
(b) A licensed importer, licensed manufacturer, or licensed dealer
may sell a firearm that is not subject to the provisions of Sec.
478.102(a) to a nonlicensee who does not appear in person at the
licensee's business premises if the nonlicensee is a resident of the
same State in which the licensee's business premises are located, and
the nonlicensee furnishes to the licensee the firearms transaction
record, Form 4473, required by Sec. 478.424. The nonlicensee shall
attach to such record a true copy of any permit or other information
required pursuant to any statute of the State and published ordinance
applicable to the locality in which he resides. The licensee shall prior
to shipment or delivery of the firearm, forward by registered or
certified mail (return receipt requested) a copy of the record, Form
4473, to the chief law enforcement officer named on such record, and
delay shipment or delivery of the firearm for a period of at least 7
days following receipt by the licensee of the return receipt evidencing
delivery of the copy of the record to such chief law enforcement
officer, or the return of the copy of the record to him due to the
refusal of such chief law enforcement officer to accept same in
accordance with U.S. Postal Service regulations. The original Form 4473,
and evidence of receipt or rejection of delivery of the copy of the Form
4473 sent to the chief law enforcement officer shall be retained by the
licensee as a part of the records required of him to be kept under the
provisions of subpart H of this part.
(c)(1) A licensed importer, licensed manufacturer, or licensed
dealer may sell or deliver a rifle or shotgun, and a licensed collector
may sell or deliver a rifle or shotgun that is a curio or relic to a
nonlicensed resident of a State other than the State in which the
licensee's place of business is located if--
(i) The purchaser meets with the licensee in person at the
licensee's premises to accomplish the transfer, sale, and delivery of
the rifle or shotgun;
(ii) The licensed importer, licensed manufacturer, or licensed
dealer complies with the provisions of Sec. 478.102;
(iii) The purchaser furnishes to the licensed importer, licensed
manufacturer, or licensed dealer the firearms transaction record, Form
4473, required by Sec. 478.124; and
(iv) The sale, delivery, and receipt of the rifle or shotgun fully
comply with the legal conditions of sale in both such States.
(2) For purposes of paragraph (c) of this section, any licensed
manufacturer, licensed importer, or licensed dealer is presumed, in the
absence of evidence to the contrary, to have had actual knowledge of the
State laws and published ordinances of both such States.
(Approved by the Office of Management and Budget under control number
1512-0130)
[33 FR 18555, Dec. 14, 1968. Redesignated at 40 FR 16835, Apr. 15, 1975,
and amended by T.D. ATF-48, 44 FR 55842, Sept. 28, 1979; T.D. ATF-241,
51 FR 39620, Oct. 29, 1986; T.D. ATF-270, 53 FR 10497, Mar. 31, 1988;
T.D. ATF-354, 59 FR 7112, Feb. 14, 1994; T.D. ATF-415, 63 FR 58278, Oct.
29, 1998]
Sec. 478.97 Loan or rental of firearms.
(a) A licensee may lend or rent a firearm to any person for
temporary use off the premises of the licensee for lawful sporting
purposes: Provided, That the delivery of the firearm to such person is
not prohibited by Sec. 478.99(b) or Sec. 478.99(c), the licensee
complies with the requirements of Sec. 478.102, and the licensee
records such loan or rental in the records required to be kept by him
under Subpart H of this part.
(b) A club, association, or similar organization temporarily
furnishing firearms (whether by loan, rental, or otherwise) to
participants in a skeet, trap, target, or similar shooting activity for
[[Page 90]]
use at the time and place such activity is held does not, unattended by
other circumstances, cause such club, association, or similar
organization to be engaged in the business of a dealer in firearms or as
engaging in firearms transactions. Therefore, licensing and
recordkeeping requirements contained in this part pertaining to firearms
transactions would not apply to this temporary furnishing of firearms
for use on premises on which such an activity is conducted.
[T.D. ATF-415, 63 FR 58278, Oct. 29, 1998]
Sec. 478.98 Sales or deliveries of destructive devices and certain
firearms.
The sale or delivery by a licensee of any destructive device,
machine gun, short-barreled shotgun, or short-barreled rifle, to any
person other than another licensee who is licensed under this part to
deal in such device or firearm, is prohibited unless the person to
receive such device or firearm furnishes to the licensee a sworn
statement setting forth
(a) The reasons why there is a reasonable necessity for such person
to purchase or otherwise acquire the device or weapon; and
(b) That such person's receipt or possession of the device or weapon
would be consistent with public safety. Such sworn statement shall be
made on the application to transfer and register the firearm required by
Part 479 of this chapter. The sale or delivery of the device or weapon
shall not be made until the application for transfer is approved by the
Director and returned to the licensee (transferor) as provided in Part
479 of this chapter.
[T.D. ATF-270, 53 FR 10497, Mar. 31, 1988]
Sec. 478.99 Certain prohibited sales or deliveries.
(a) Interstate sales or deliveries. A licensed importer, licensed
manufacturer, licensed dealer, or licensed collector shall not sell or
deliver any firearm to any person not licensed under this part and who
the licensee knows or has reasonable cause to believe does not reside in
(or if a corporation or other business entity, does not maintain a place
of business in) the State in which the licensee's place of business or
activity is located: Provided, That the foregoing provisions of this
paragraph (1) shall not apply to the sale or delivery of a rifle or
shotgun (curio or relic, in the case of a licensed collector) to a
resident of a State other than the State in which the licensee's place
of business or collection premises is located if the requirements of
Sec. 478.96(c) are fully met, and (2) shall not apply to the loan or
rental of a firearm to any person for temporary use for lawful sporting
purposes (see Sec. 478.97).
(b) Sales or deliveries to underaged persons. A licensed importer,
licensed manufacturer, licensed dealer, or licensed collector shall not
sell or deliver (1) any firearm or ammunition to any individual who the
importer, manufacturer, dealer, or collector knows or has reasonable
cause to believe is less than 18 years of age, and, if the firearm, or
ammunition, is other than a shotgun or rifle, or ammunition for a
shotgun or rifle, to any individual who the importer, manufacturer,
dealer, or collector knows or has reasonable cause to believe is less
than 21 years of age, or (2) any firearm to any person in any State
where the purchase or possession by such person of such firearm would be
in violation of any State law or any published ordinance applicable at
the place of sale, delivery, or other disposition, unless the importer,
manufacturer, dealer, or collector knows or has reasonable cause to
believe that the purchase or possession would not be in violation of
such State law or such published ordinance.
(c) Sales or deliveries to prohibited categories of persons. A
licensed manufacturer, licensed importer, licensed dealer, or licensed
collector shall not sell or otherwise dispose of any firearm or
ammunition to any person knowing or having reasonable cause to believe
that such person:
(1) Is, except as provided by Sec. 478.143, under indictment for,
or, except as provided by Sec. 478.144, has been convicted in any court
of a crime punishable by imprisonment for a term exceeding 1 year;
(2) Is a fugitive from justice;
(3) Is an unlawful user of or addicted to any controlled substance
(as defined
[[Page 91]]
in section 102 of the Controlled Substance Act, 21 U.S.C. 802);
(4) Has been adjudicated as a mental defective or has been committed
to any mental institution;
(5) Is an alien illegally or unlawfully in the United States or,
except as provided in Sec. 478.32(f), is a nonimmigrant alien:
Provided, That the provisions of this paragraph (c)(5) do not apply to
any nonimmigrant alien if that alien is--
(i) Admitted to the United States for lawful hunting or sporting
purposes or is in possession of a hunting license or permit lawfully
issued in the United States;
(ii) An official representative of a foreign government who is
either accredited to the United States Government or the Government's
mission to an international organization having its headquarters in the
United States or en route to or from another country to which that alien
is accredited. This exception only applies if the firearm or ammunition
is shipped, transported, possessed, or received in the representative's
official capacity;
(iii) An official of a foreign government or a distinguished foreign
visitor who has been so designated by the Department of State. This
exception only applies if the firearm or ammunition is shipped,
transported, possessed, or received in the official's or visitor's
official capacity, except if the visitor is a private individual who
does not have an official capacity; or
(iv) A foreign law enforcement officer of a friendly foreign
government entering the United States on official law enforcement
business;
(6) Has been discharged from the Armed Forces under dishonorable
conditions;
(7) Who, having been a citizen of the United States, has renounced
citizenship;
(8) Is subject to a court order that restrains such person from
harassing, stalking, or threatening an intimate partner of such person
or child of such intimate partner or person, or engaging in other
conduct that would place an intimate partner in reasonable fear of
bodily injury to the partner or child, except that this paragraph shall
only apply to a court order that--
(i) Was issued after a hearing of which such person received actual
notice, and at which such person had the opportunity to participate; and
(ii)(A) Includes a finding that such person represents a credible
threat to the physical safety of such intimate partner or child; or
(B) By its terms explicitly prohibits the use, attempted use, or
threatened use of physical force against such intimate partner or child
that would reasonably be expected to cause bodily injury, or
(9) Has been convicted of a misdemeanor crime of domestic violence.
(d) Manufacture, importation, and sale of armor piercing ammunition
by licensed importers and licensed manufacturers. A licensed importer or
licensed manufacturer shall not import or manufacture armor piercing
ammunition or sell or deliver such ammunition, except:
(1) For use of the United States or any department or agency thereof
or any State or any department, agency, or political subdivision
thereof;
(2) For the purpose of exportation; or
(3) For the purpose of testing or experimentation authorized by the
Director under the provisions of Sec. 478.149.
(e) Transfer of armor piercing ammunition by licensed dealers. A
licensed dealer shall not willfully transfer armor piercing ammunition:
Provided, That armor piercing ammunition received and maintained by the
licensed dealer as business inventory prior to August 28, 1986, may be
transferred to any department or agency of the United States or any
State or political subdivision thereof if a record of such ammunition is
maintained in the form and manner prescribed by Sec. 478.125(c). Any
licensed dealer who violates this paragraph is subject to license
revocation. See subpart E of this part. For purposes of this paragraph,
the Director shall furnish each licensed dealer information defining
which projectiles are considered armor piercing. Such information may
not be all-inclusive for purposes of the prohibition on manufacture,
importation, or sale or delivery by a manufacturer or importer of
[[Page 92]]
such ammunition or 18 U.S.C. 929 relating to criminal misuse of such
ammunition.
[T.D. ATF-270, 53 FR 10497, Mar. 31, 1988, as amended by T.D. ATF-363,
60 FR 17454, Apr. 6, 1995; T.D. ATF-401, 63 FR 35523, June 30, 1998;
T.D. ATF-471, 67 FR 5426, Feb. 5, 2002]
Sec. 478.100 Conduct of business away from licensed premises.
(a)(1) A licensee may conduct business temporarily at a gun show or
event as defined in paragraph (b) if the gun show or event is located in
the same State specified on the license: Provided, That such business
shall not be conducted from any motorized or towed vehicle. The premises
of the gun show or event at which the licensee conducts business shall
be considered part of the licensed premises. Accordingly, no separate
fee or license is required for the gun show or event locations. However,
licensees shall comply with the provisions of Sec. 478.91 relating to
posting of licenses (or a copy thereof) while conducting business at the
gun show or event.
(2) A licensed importer, manufacturer, or dealer may engage in the
business of dealing in curio or relic firearms with another licensee at
any location.
(b) A gun show or an event is a function sponsored by any national,
State, or local organization, devoted to the collection, competitive
use, or other sporting use of firearms, or an organization or
association that sponsors functions devoted to the collection,
competitive use, or other sporting use of firearms in the community.
(c) Licensees conducting business at locations other than the
premises specified on their license under the provisions of paragraph
(a) of this section shall maintain firearms records in the form and
manner prescribed by subpart H of this part. In addition, records of
firearms transactions conducted at such locations shall include the
location of the sale or other disposition, be entered in the acquisition
and disposition records of the licensee, and retained on the premises
specified on the license.
[T.D. ATF-270, 53 FR 10498, Mar. 31, 1988, as amended by T.D. ATF-401,
63 FR 35523, June 30, 1998]
Sec. 478.101 Record of transactions.
Every licensee shall maintain firearms and armor piercing ammunition
records in such form and manner as is prescribed by subpart H of this
part.
[T.D. ATF-270, 53 FR 10498, Mar. 31, 1988]