Obtaining a fully automatic weapons permit requires meeting strict federal requirements and working closely with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). FFLs must complete the proper paperwork, undergo thorough background checks, and maintain impeccable compliance records to process machine gun transactions.
The landscape of automatic weapons permitting remains one of the most tightly regulated areas of firearms compliance. The ATF has maintained strict oversight of fully automatic weapons through the Hughes Amendment of the Firearms Owners Protection Act (FOPA), creating a complex but necessary framework of requirements that FFLs must navigate. These permits are essential not just for compliance under federal law, but for maintaining the integrity of the firearms industry and ensuring public safety.
For Federal Firearms Licensees (FFLs), understanding the process behind obtaining a fully automatic weapon is crucial. This guide will walk you through the key requirements, application processes, and compliance considerations for obtaining and maintaining your automatic weapons permits.
Understanding FFL and SOT Requirements
Machine guns are regulated in the United States under the National Firearms Act (NFA), so FFLs seeking to deal in fully automatic weapons must meet specific requirements beyond standard licensing.
FFL Types for Machine Guns
Only specific Federal Firearms License types can qualify for the additional Special Occupational Taxpayer (SOT) status necessary for machine gun transactions:
- Type 01 (Dealer in Firearms)
- Type 07 (Manufacturer of Firearms)
- Type 08 (Importer of Firearms)
SOT Classes
The SOT classification system consists of three distinct classes, each serving different operational needs.
- Class 1 SOT: Importers of NFA items, including machine guns, requires a Type 08 or 11 FFL.
- Class 2 SOT: Manufacturers of NFA items, requires a Type 07 FFL.
- Class 3 SOT: Dealers in NFA items, typically operate with a Type 01 FFL.
Annual SOT fees vary by classification, with renewal required yearly by July 1st.
- Class 1 and 2 SOT: $1,000 annually
- Class 3 SOT: $500 annually
These fees are separate from standard FFL renewal costs, which occur every three years.
Business premises for SOT holders must meet enhanced security requirements. This includes approved safes or vaults for weapon storage, sophisticated alarm systems with law enforcement notification capabilities, and reinforced entry points. Many jurisdictions mandate specific security measures beyond what’s required under the federal government.
Record-keeping for SOT holders involves maintaining detailed acquisition and disposition records in bound books or approved software systems. These records must track every NFA item’s movement through the business, including transfers between licensees and sales to qualified buyers. Additionally, SOT holders must maintain separate records for machine guns distinct from other firearms, with regular inventory reconciliation required.
Application Process and Documentation
The application process for obtaining fully automatic firearms requires submitting ATF Form 4, which facilitates the transfer and registration of NFA items, including machine guns.
Initial Application Steps
To begin the Form 4 process, you must first identify a transferable fully automatic firearm. The application requires detailed information about both the transferor (seller) and transferee (buyer), along with specific details about the firearm being transferred. All Form 4 applications must be submitted in duplicate.
Required Documentation
The ATF requires the following documentation with your completed Form 4:
- Two sets of fingerprints on FBI Form FD-258
- Recent 2×2 passport-style photograph
- Proof of citizenship or legal residency
- $200 tax payment per firearm (unless the item is classified as Any Other Weapon (AOW), in which case the fee is $5)
- Law enforcement certification or notification
- Trust or legal entity paperwork (if applicable)
Timeline and Processing
The Form 4 approval process timeline can vary based on ATF workload and application volume. During this period, the firearm must remain in the transferor’s possession until final approval is received. The ATF’s current Form 4 processing periods are:
- Individual Applications: 7 days for eForms, 49 days for paper applications
- Trust Applications: 11 days for eForms, 59 days for paper applications
Avoiding Common Mistakes
Common Form 4 application errors include:
- Incomplete fingerprint cards
- Missing photographs
- Incorrect firearm information
- Incomplete payment
To avoid critical errors, double-check all serial numbers, model designations, and caliber information. Ensure trust paperwork is current and complete if using a trust structure for the transfer.
Which States Allow Fully Automatic Weapons?
Under the Firearms Owners Protection Act, eligible civilians can legally own automatic weapons manufactured before May 19, 1986, provided they undergo an extensive ATF approval process, pass thorough background checks, and pay a $200 transfer tax. Possessing newly manufactured machine guns is prohibited for civilians under federal law, but FFLs throughout the United States are able to own, deal, and manufacture machine guns as long as they have the appropriate FFL and SOT.
Currently, five states, along with the District of Columbia, have enacted laws either prohibiting civilian ownership of machine guns:
- Connecticut: Machine guns are legal for private citizens with annual registration with the Connecticut Department of Emergency Services and Public Protection (DESPP) if they are capable of “full automatic only” rate of fire.
- Delaware: Machine guns are prohibited for non-law enforcement and military civilians
- Hawaii: Manufacture, possession, transfer, and sale of automatic firearms is prohibited for non-law enforcement and military civilians
- New York: ownership of machine guns is prohibited to civilians
- Washington: Machine guns are illegal for non-law enforcement possession unless purchased before July 1, 1994
Certain states have state-specific licenses or other requirements outside of federal law:
- Connecticut: Fully automatic firearms manufactured before May 19, 1986 are legal for private citizens with annual registration with the Connecticut Department of Emergency Services and Public Protection (DESPP) if they are capable of “full automatic only” rate of fire.
- New Jersey: Possession of a machine gun requires a state license
- Virginia: Fully automatic firearms must be registered with the state police
The following states prohibit the sale, transport, purchase and/or possession of machine guns for civilians in most cases, but provide exceptions for licensed dealers:
- California
- Colorado
- Illinois
- Massachusetts
- Minnesota
- Iowa
- Rhode Island
- Louisiana
The following states prohibit the possession of a machine gun only if the gun is used for an aggressive purpose or a crime:
- Maryland
- Montana
- Virginia
The remaining states generally allow civilian ownership of pre-1986 automatic weapons that meet federal NFA requirements, though some impose additional regulations such as enhanced background checks, registration requirements, or restrictions on certain types of automatic firearms.
Compliance and Operational Requirements
Maintaining compliance with gun laws and ATF regulations for fully automatic weapons requires meticulous attention to detail across multiple operational areas. The cornerstone of compliance is precise inventory management through your bound book system. Every NFA item must be logged with complete serial numbers, manufacturer details, and model specifications. Transaction records must include thorough documentation of all transfers, including copies of approved Form 4s and tax stamp verification. Dealers must maintain these records for a minimum of 20 years.
All automatic weapons must be secured in ATF-approved safes or vaults when not in active demonstration. Transportation requires detailed documentation, including route planning and security measures. Employee access must be strictly controlled, with detailed logs of all personnel who handle these firearms.
Audit preparation is an ongoing process, not a one-time event. Successful dealers:
- Maintain organized filing systems for all Form 3s, Form 4s, and transfer documentation.
- Implement regular internal audits should mirror ATF compliance inspections, including inventory reconciliation and transaction record review.
- Renew SOT status annually, with all associated fees paid on time to maintain your ability to deal in NFA items.
Reporting requirements include immediate notification of lost or stolen weapons, quarterly reports of multiple sales, and annual inventory verification. Maintaining detailed electronic records through FastBound’s ATF-compliant software streamlines these obligations while ensuring accuracy and accessibility during inspections.
Let FastBound Help You With Every Stage of Firearms Compliance
Obtaining and maintaining permits for fully automatic weapons requires meticulous attention to detail and unwavering compliance. Remember that this specialized license demands ongoing vigilance—from securing proper storage facilities to conducting thorough background checks and maintaining detailed transaction records.
For dealers seeking to streamline their compliance with firearms laws, digital solutions have become invaluable. FastBound’s comprehensive compliance software specifically addresses the complex recordkeeping requirements for FFLs, automating form completion, ensuring accurate bound book maintenance, and providing real-time compliance updates. By digitizing these critical processes, dealers can focus more on their core business while maintaining ATF compliance.
Ready to implement a digital solution that safeguards your business and simplifies regulatory requirements? Start your Free Trial with FastBound today to learn how our compliance software can protect your FFL investment and streamline your automatic weapons dealing operations.
