FFL Licensing Procedures & Recordkeeping 2 — Questions and Answers
Question 1: How long must an FFL holder retain the Acquisition and Disposition (A&D) record after discontinuing business?
- 1 year
- 5 years
- 20 years (Correct answer)
- Indefinitely until transferred to ATF
Correct answer: 20 years
Federal regulations require FFLs to retain A&D records for 20 years, and upon business discontinuation, records must be forwarded to the ATF Out-of-Business Records Center.
Question 2: What ATF form must be completed when a licensed dealer transfers a firearm to an unlicensed individual?
- ATF Form 4473 (Correct answer)
- ATF Form 4
- ATF Form 1
- ATF Form 3310.4
Correct answer: ATF Form 4473
ATF Form 4473 (Firearms Transaction Record) must be completed for every over-the-counter transfer from an FFL to a non-licensed person.
Question 3: A pawnbroker FFL receives a firearm as collateral. Within what timeframe must this acquisition be recorded in the bound book?
- Immediately upon receipt
- By close of business the same day
- Within 24 hours
- By the end of the next business day (Correct answer)
Correct answer: By the end of the next business day
ATF regulations require FFLs to record acquisitions no later than the close of the next business day following the receipt of the firearm.
Question 4: Which of the following is NOT a required element on ATF Form 4473?
- Transferee's date of birth
- Transferee's Social Security Number (Correct answer)
- Transferee's state of residence
- Firearm's manufacturer and model
Correct answer: Transferee's Social Security Number
Social Security Numbers are optional on Form 4473; the form requires identity information but SSN is not mandatory.
Question 5: An FFL's license expires while they still have firearms inventory. What must they do?
- Continue operations for 30 days while renewing
- Cease all firearms transactions immediately (Correct answer)
- Transfer inventory to ATF within 10 days
- Apply for a temporary operating permit
Correct answer: Cease all firearms transactions immediately
Upon license expiration, an FFL must cease all firearms business activities immediately until a new license is issued.
Question 6: What is the maximum number of pistols or revolvers purchased from the same unlicensed person that triggers a multiple sale report requirement?
- One
- Two or more (Correct answer)
- Three or more
- Four or more
Correct answer: Two or more
ATF Form 3310.4 must be filed whenever two or more pistols or revolvers are acquired from the same unlicensed person at the same time or within five consecutive business days.
Question 7: When an FFL holder sells their business, what must happen to the bound book (A&D record)?
- It is destroyed to protect customer privacy
- It is submitted to ATF within 30 days
- It is transferred to the successor FFL licensee (Correct answer)
- It must be retained by the seller for 20 years
Correct answer: It is transferred to the successor FFL licensee
When a licensed business is sold, the bound book and all firearms transaction records transfer to the successor licensee who takes over the business.
FFL Licensing Procedures & Recordkeeping 2
How long must an FFL holder retain the Acquisition and Disposition (A&D) record after discontinuing business?