Transferring form 1 suppressor from Corp to a new Trust?

[bryanearl]

Hey all, it has been a long time since I have posted on this forum, but I have a question I am hoping to get an answer for...

I have a form 1 suppressor that I had originally done under a corporation.

I am creating a trust now, and I need to transfer that item from the corp into the new trust.

Can anyone tell me what process I need to do for the transfer? Forms to use? Am I going to need to buy a new stamp? What about my previous engraving on the item? Currently I have the model, cal and serial engraved... I am thinking that I will only need to add the name of the trust?

Any help would be appreciated!

Thanks

[Bendersquint]

Hey all, it has been a long time since I have posted on this forum, but I have a question I am hoping to get an answer for...

I have a form 1 suppressor that I had originally done under a corporation.

I am creating a trust now, and I need to transfer that item from the corp into the new trust.

Can anyone tell me what process I need to do for the transfer? Forms to use? Am I going to need to buy a new stamp? What about my previous engraving on the item? Currently I have the model, cal and serial engraved... I am thinking that I will only need to add the name of the trust?

Any help would be appreciated!

Thanks

This would require a taxed form4 transfer, no need to engrave it again it has already been registered.

File a form4 from the corp to the trust, when its approved you simply hand the approved form4 to yourself and know that the trust is the legal owner now.

[bryanearl]

Great! That is what I figured.

One more question regarding the Form 4... Because the item will be transferred to a Trust, do I need to also send in the "Certification of Compliance" Form 5330-20?

Or, do I only need to send in the Form 4 (two copies, right?)?

[Bendersquint]

Great! That is what I figured.

One more question regarding the Form 4... Because the item will be transferred to a Trust, do I need to also send in the "Certification of Compliance" Form 5330-20?

Or, do I only need to send in the Form 4 (two copies, right?)?

I always do a compliance certificate, the examiners are very inconsistent regarding whether they need it or not. Better safe than sorry and chances for delays. If they dont need it they can file it in the round bin.

[bryanearl]

Will do then. Thanks again!

[Armorer-at-Law]

Was the corporation formed just to own/make NFA items? If so, why not just transfer ownership of the corporation to the trust?

If the corporation owns other things and has some other purpose, that's not a good option. But if you are switching to a trust just for the estate planning benefits, you can get the benefits by having the trust own the corp. You will have to keep the corp. in good standing with the state. The cost and trouble of doing this varies from state to state.

[aggiez28]

i am interested in knowing the reason for the transfer?

Why not keep it in the corp?

[Bendersquint]

i am interested in knowing the reason for the transfer?

Why not keep it in the corp?

My guess is Corps in most states require yearly fees, meetings and other data reported to the state....a Trust has no reporting requirement.

Adding a Corp to a Trust makes things more confusing, having to maintain both the Corp and the Trust indefinitely would be a nightmare.

[bryanearl]

i am interested in knowing the reason for the transfer?

Why not keep it in the corp?

My guess is Corps in most states require yearly fees, meetings and other data reported to the state....a Trust has no reporting requirement.

Adding a Corp to a Trust makes things more confusing, having to maintain both the Corp and the Trust indefinitely would be a nightmare.

Exactly correct. The fees and tax handling was just too much to deal with just to keep a form 1 suppressor in. Because I bought a new, much nicer Abraxas II suppressor that is getting registered directly to me, I decided to go ahead and destroy the old suppressor and let the corp dissolve.