All You Need to Know About FFL Dealership in Mississippi

Table of Contents:

Introduction to Mississippi Firearm Laws

If you’re looking to become a firearms dealer in Mississippi, obtaining a Federal Firearms License (FFL) is essential. Below is a comprehensive, step-by-step guide that outlines the federal requirements and the specific considerations for operating in Mississippi.

How to Obtain a Federal Firearms License (FFL) in Mississippi

Step 1: Understand the Federal Requirements

  1. Determine Eligibility:
    • Be at least 21 years old.
    • Not be prohibited from shipping, transporting, receiving, or possessing firearms or ammunition.
    • Have not violated the Gun Control Act (GCA) or its regulations.
    • Have not knowingly withheld important information or made false statements in their application.
    • Have a business location or premises for collecting firearms.
    • Certify compliance with state and local laws where the business is located, including notifying local law enforcement of their intent to apply for an FFL.
    • If operating as a dealer, ensure secure gun storage or safety devices are available at all sales locations for non-licensees.
  1. Choose the Type of FFL:
    • Identify the type of FFL you need based on your business model. The most common type for dealers is the Type 01 FFL, which allows for the sale of firearms.
    • Type 01 – Firearm Dealer/Gunsmith.
    • Type 02 – Pawnbroker.
    • Type 03 – Collector.
    • Type 06 – Manufacture of Ammunition.
    • Type 07 – Manufacturer of Firearms.
    • Type 08 – Importer of Firearms.
    • Type 09 – Dealer of “Destructive Devices”
    • Type 10 – Manufacturer of “Destructive Devices”
  1. Complete ATF Form 7:
    • Fill out the ATF Form 7 (Application for Federal Firearms License). This form requires detailed personal information, business structure, and the type of FFL you are applying for.
  2. Submit the Application:
    • Send the completed form along with the required fee to the ATF. Fees vary by FFL type, generally starting at $200 for a Type 01 FFL.
  3. Background Check:
    • The ATF will conduct a background check on you and any responsible persons listed in your application.
  4. Interview with ATF Agent:
    • An ATF agent will contact you to schedule an interview. During this meeting, they will review your application, discuss your business plans, and ensure compliance with federal laws.
  5. Receive Your FFL:
    • If your application is approved, you will receive your FFL in the mail. The entire process can take several weeks to months.

Step 2: Understand Mississippi State Requirements

While Mississippi does not require firearms dealers to obtain a state license, there are specific regulations and requirements to follow:

  1. Privilege Tax:
    • Although there is no state licensing requirement, any person dealing in deadly weapons (including handguns) must pay a one-time “privilege tax” of $100. Ensure this tax is paid as part of your business setup.
  2. Universal Background Checks:
    • Federally licensed firearms dealers in Mississippi must conduct background checks on all prospective purchasers each time a firearm is transferred, in accordance with the Brady Act. Be prepared to utilize the National Instant Criminal Background Check System (NICS) for these checks.
  3. Record Keeping:
    • Mississippi repealed the requirement for sellers of handguns to keep records of all handgun sales in 2012. However, as an FFL holder, you are still required to maintain accurate records of all transactions for federal compliance.
  4. Retention of Records:
    • You must retain records of firearm sales and background checks for a minimum of 20 years. These records should be readily available for inspection by law enforcement if requested.

Step 3: Additional Considerations

  • Local Regulations: Check with local authorities regarding any additional regulations that may apply to firearms sales in your city or county.
  • Zoning Laws: Ensure that your business location complies with local zoning laws for operating a firearms dealership.
  • Insurance: Consider obtaining liability insurance to protect your business from potential legal issues.

Firearms in Mississippi: Permitted vs. Prohibited

Firearm TypePermittedProhibited
Handguns
Rifles
Shotguns
Short-barreled rifles
Short-barreled shotguns
Machine guns✔ (with federal compliance)
Assault weapons
Large capacity magazines
Antique firearms
Teflon-coated ammunition

Source Link

  • Handguns, Rifles, and Shotguns: Permitted for possession and carrying. A permit is not required, and there’s no registration or licensing requirement.
  • Short-barreled rifles and shotguns: Prohibited for concealed carry.
  • Machine guns: Permitted if federally registered.
  • Assault weapons and Large capacity magazines: No specific regulation details provided, assumed permissible unless otherwise stated.
  • Antique firearms: Treated as ordinary firearms, thus permitted.
  • Teflon-coated ammunition: Prohibited as it is categorized under prohibited items.

Selling Firearms Online Legally in Mississippi

  1. Check Customer’s Eligibility Information: Ensure that the customer’s personal details and shipping address are accurate and match what they provided during the order process.
  2. Confirm the Firearm: Double-check that the firearm they ordered is in stock and that it meets all applicable legal requirements.
  3. Request a Federal Firearms License (FFL): Since the firearm is being shipped to a local FFL dealer, you’ll need to obtain a copy of the recipient’s FFL. This is crucial for ensuring the FFL transfer is conducted legally. The customer in Mississippi will need to provide the contact information for their local FFL dealer, who will then send you a copy of their license.
  4. Prepare the Firearm for Shipment: Package the firearm securely and ensure it meets all shipping regulations. Include any required documentation, such as a copy of your FFL and the firearm’s serial number.
  5. Ship the Firearm: Use a licensed carrier that is authorized to transport firearms. Ensure that the shipment is properly labeled and that you retain tracking information for your records.
  6. Notify the Recipient: Once the firearm is shipped, provide the customer with tracking details and any necessary instructions for picking up the firearm from their local FFL dealer.
  7. Record the Transaction: Keep detailed records of the sale, including the buyer’s information, FFL details, and shipping information. This is essential for compliance with federal and state regulations.
  8. Consider Automation Software: For FFL ecommerce businesses, integrating firearm automation software can streamline the firearm business process. This software can help manage firearm order inventory, product listing on marketplace like Gunbroker.com, enhancing efficiency and reducing the risk of errors.

Understanding Background Checks for Firearm Sales in Mississippi

Federal Law Requirements: Federally licensed firearms dealers are required to initiate a background check on purchasers before selling a firearm. However, this requirement does not extend to private sellers.

State Point of Contact: Montana is not a point of contact state for the National Instant Criminal Background Check System (NICS). All firearms transfers by licensed dealers are processed directly through the FBI.

Concealed Weapons Permit Exemption: Federal law does not require dealers to conduct a background check if the purchaser presents a state permit to purchase or possess firearms that meets specific conditions. Therefore, concealed weapons permit holders in Montana are exempt from the federal background check requirement when purchasing a firearm.

Private Transfers: Firearms transfers by private sellers (non-firearms dealers) are not subject to background checks, although federal and state purchaser prohibitions still apply.

Conclusion

To get a Federal Firearms License in Mississippi, follow federal rules, choose the right FFL type, fill out the application, and pass the background check. Pay the state privilege tax and follow local rules. Keep detailed records of all transactions and ensure compliance with all laws. By following these steps, you can legally operate as a firearms dealer in Mississippi.

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Disclaimer: The information presented here has been compiled from multiple public sources. It serves as a general overview of firearm regulations and guidelines concerning the specific state. This content is intended for informational purposes only and should not be interpreted as legal advice or relied upon as a substitute for professional legal counsel.