NFA Trust Questions

[bigbird1]

Tell me about a NFA Trust, the ups and downs, do you have to file tax paper work every year? what do you do if you die or want to sell the NFA item? can you just change names on the trust and take yours off? or your kids . just trying to decide what way to go in the NFA stuff

 

[762Mike]

I am not a lawyer, but this is as good as I can tell you.

There are no downs to it that I know of. No taxes needed. If you die, the NFA item gets passed on to whomever you elected in your trust, free of taxation I believe. (you would list your kids, wife etc. as recipient when you create the trust).

You would not change names on the trust if you were selling the item. The buyer would have to decide which method he or she wanted to use, and file for themselves.

 

[JoshuaW]

I am not a lawyer, but this is as good as I can tell you.

There are no downs to it that I know of. No taxes needed. If you die, the NFA item gets passed on to whomever you elected in your trust, free of taxation I believe. (you would list your kids, wife etc. as recipient when you create the trust).

You would not change names on the trust if you were selling the item. The buyer would have to decide which method he or she wanted to use, and file for themselves.

I believe the OP was referring to doing taxes on the trust, which in some uses of a trust is necessary. I am not a lawyer, accountant, and I havent stayed in a Holiday Inn in years, but I believe you only have to do taxes on a trust when you have gains on it, like interest on a bank account, or if someone payed into the trust for some reason.

As far as the name goes, Im not really sure. With a normal trust it would be a simple modification to transfer ownership of the items outlined in the trust or to include/exclude anyone. I really have no idea how that effects NFA items.

I hope someone has some more answers, because I had thought of those same questions at one point and time and have never asked.

 

[67brad]

My thoughts as for a trust ups are the way to go!Downs are finding a Indiana Law firm that knows about the NFA laws here in the state.I'm on hold for a NFA trust at this time waiting for the law office to contact me.It does to seem to be a hot subject oh on the the NFA trust.There are some Law firms now working hard on it at this time I'm just waiting on a call.I would not recommend any body trying to go get there own software and doing it on there own now.Let the Law office handle it.