Gunsmiths
1. Is a gunsmith liable for FAET?
If you perform gunsmithing on a firearm, your liability for FAET will depend on the type of work you perform on the firearm.
You are liable for FAET if you: |
You are not liable for FAET if you: |
• Materially change a firearm resulting in a different taxable article; |
• Replace, refinish, or repair existing parts of a firearm; |
• Produce custom firearms from new or used firearms that you acquire; or |
• Refinish (by bluing or black anodizing) existing firearms; |
• Add parts to a frame, receiver, or action. |
• Checker existing firearms;
• Engrave or perform other types of decorative work (such as inlaying of silver and gold) on firearms you purchase and then sell or use;
• Sell parts or accessories separately; or
• Sell parts or accessories with a complete firearm for use as spare parts or accessories.
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2. If I perform gunsmithing, when is my customer considered the manufacturer?
The gunsmith is considered the manufacturer if: |
The customer is considered the manufacturer if: |
He or she alters a firearm in connection with a sale to the customer (however, the gunsmith’s alteration of the firearm must constitute manufacturing). |
• The gunsmith does not sell an altered firearm to a customer; or
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• The gunsmith sells a firearm to the customer and makes alterations to it as separate transactions. |
3. If my customer is considered the manufacturer, when is he or she liable for FAET?
The customer is liable for FAET if: |
The customer is not liable for FAET if: |
• He or she sells the firearm before using it; or |
He or she uses the firearm for personal use after delivery from the gunsmith. |
• He or she uses the firearm in the operation of his or her business. |
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