FFL Licensing Procedures & Recordkeeping 4 — Questions and Answers
Question 1: An FFL licensee discovers 3 firearms are missing from inventory during a physical count. What is the required action?
- Report to local police only within 30 days
- Report to ATF within 48 hours of discovery (Correct answer)
- No reporting required if under 5 firearms
- Report to ATF within 30 days of discovery
Correct answer: Report to ATF within 48 hours of discovery
FFLs must report the theft or loss of firearms to ATF and local law enforcement within 48 hours of discovering the loss.
Question 2: What is the license fee for a new Type 01 (Dealer) FFL application?
- $50 for 1 year
- $100 for 1 year
- $200 for 3 years (Correct answer)
- $500 for 3 years
Correct answer: $200 for 3 years
The application fee for a new Type 01 FFL dealer license is $200 for a three-year license term.
Question 3: Under what circumstance may an FFL transfer a firearm without completing a NICS check?
- When the buyer holds a valid concealed carry permit in most states (Correct answer)
- When the buyer is a law enforcement officer
- When the firearm is an antique manufactured before 1899
- When the transaction is between two FFLs
Correct answer: When the buyer holds a valid concealed carry permit in most states
Many states allow NICS exemptions for holders of qualifying concealed carry permits that meet ATF criteria, though this varies by state.
Question 4: How must Form 4473 be stored by the FFL dealer?
- Alphabetically by buyer's last name
- Chronologically by date of transfer
- Numerically by transaction number
- Either alphabetically, numerically, or chronologically — any consistent system (Correct answer)
Correct answer: Either alphabetically, numerically, or chronologically — any consistent system
ATF regulations permit FFLs to file Form 4473 records alphabetically, numerically, or chronologically as long as a consistent filing system is maintained.
Question 5: A licensed collector (Type 03 C&R FFL) wants to purchase a handgun from a dealer. What requirement applies?
- No Form 4473 required; C&R license substitutes
- Form 4473 and NICS check are still required for handguns (Correct answer)
- Only a NICS check is required, not Form 4473
- The transaction is exempt from all documentation
Correct answer: Form 4473 and NICS check are still required for handguns
A Curio & Relic (C&R) FFL does not exempt the holder from Form 4473 and NICS checks when purchasing non-C&R handguns from a dealer.
Question 6: What must an FFL do when they relocate their licensed premises to a new address?
- Notify ATF via email within 30 days
- Apply for a new FFL for the new location before moving
- Update address on existing license; no new license needed if same county
- Notify ATF in writing within 30 days and receive approval before conducting business (Correct answer)
Correct answer: Notify ATF in writing within 30 days and receive approval before conducting business
FFLs must notify ATF in writing prior to relocating and receive ATF approval before conducting firearms business at the new address.
Question 7: Which of the following is a prohibited person under 18 U.S.C. § 922(g) who cannot legally acquire firearms?
- A person with a misdemeanor traffic conviction
- A person convicted of a felony punishable by more than one year imprisonment (Correct answer)
- A person under 25 years of age
- A person who has been arrested but not convicted
Correct answer: A person convicted of a felony punishable by more than one year imprisonment
Section 922(g) prohibits persons convicted of crimes punishable by imprisonment exceeding one year (felonies) from possessing or receiving firearms.
FFL Licensing Procedures & Recordkeeping 4
An FFL licensee discovers 3 firearms are missing from inventory during a physical count.
What is the required action?