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pichon
February 22, 2009, 04:51 PM
I have been contemplating buying a couple of cans for some of my guns and wanted to know what the annual requirements were for maintaining an LLC for the exclusive purpose of owning NFA items. I will not be doing business through this LLC. I live in Utah, and I am aware of the $139 registration fee and corresponding paperwork. Does anyone know the other requirements for this kind of LLC?

Question 2.
I am finishing up my undergraduate degree this upcoming year. I plan on attending law and business school for a JD/MBA after that. I will be focusing on Real Estate and Business but are there any other lawyers out there who could suggest what other things I should focus on in order to do NFA related work? I will definitely be taking trusts and estates, but what else?

Bartholomew Roberts
February 22, 2009, 05:02 PM
The only requirements for any kind of LLC (gun or otherwise) are whatever the state of Utah establishes. Typically there is an annual or quarterly tax report to both the Feds and the State Comptroller; but check with the Utah Secretary of State about LLC requirements.

Question 2.
I am finishing up my undergraduate degree this upcoming year. I plan on attending law and business school for a JD/MBA after that. I will be focusing on Real Estate and Business but are there any other lawyers out there who could suggest what other things I should focus on in order to do NFA related work? I will definitely be taking trusts and estates, but what else?

My first bit of advice would be not to get the JD unless you really, really want to practice law, have an excessive amount of money that you don't care about, or can get your degree very cheaply from a public university. Realize that universities often profit tremendously from law schools and often paint a rosier picture of the employment opportunities a JD opens up than is actually the case. You really need to research your choices with an extremely skeptical eye if you go this route.

Classes that I found helpful in understanding NFA-related issues were:
1. Criminal law
2. White collar crime
3. Constitutional law

One class I definitely wish I had taken (both for better understanding of NFA and just about every other kind of law) was Administrative Law. The actual class is pretty dry; but being able to master Administrative Law can give you an edge in any kind of law practice I think.

pichon
February 22, 2009, 05:21 PM
My first bit of advice would be not to get the JD unless you really, really want to practice law, have an excessive amount of money that you don't care about, or can get your degree very cheaply from a public university. Realize that universities often profit tremendously from law schools and often paint a rosier picture of the employment opportunities a JD opens up than is actually the case. You really need to research your choices with an extremely skeptical eye if you go this route.

Thanks for a speedy response!!

Funny thing is I don't actually want to practice law at all. What I want to do is land development and real estate. I will likely practice law for a while while I earn enough capital to start my business and to learn the ropes. I have a good friend who is the partner in charge of hiring new attorneys for a large firm. I will likely attend a religious university where tuition is greatly reduced for practitioners of that religion.

I figure I will need the law degree because I hope to set up many corporations throughout my lifetime. The JD is a good degree to have just to get by in business these days I figure, and I am not worried abut the cost of obtaining it so much. I have very $upportive parents.

Administrative law sound like a good one. I will make sure to look for it.

BTW, I took the undergraduate level white collar crime class from the head of enforcement of the Utah state division of commerce who moonlights as a professor at my school and it was probably one of my favorite classes. I will take it for sure in Law School.

Bartholomew Roberts
February 22, 2009, 05:27 PM
Don't get me wrong, a JD is a great thing to have and very handy. After this administration gets done adding layers of bureaucracy, it will be even more useful. Having said that, the chances of making the money back that you spend on a JD ain't what they used to be. If you are going to pursue a JD as a money-making opportunity or investment in your career then you need to keep costs manageable and understand that in order to bill 40 hours, you will probably have to work 60-70 hours.

pichon
February 22, 2009, 05:44 PM
I just looked at the school's website. Tuition for 3 years of law will cost me $27,700 ($36,960 for the JD/MBA). I hope to make that back in a few months or so after getting a job.

I am pretty sure I want to at least get the degree. What I do with it from there will depend on what is available, but I have other opportunities to fall back on if I need to.

After this administration gets done adding layers of bureaucracy, it will be even more useful.

That scares me. Sometimes I think that without some sort of legal knowledge no one will be able to get along in business without a JD or good GC's. I will graduate during this administrations stay in office if he is reelected. If he is not I hope the outlook isn't so grim.

Bartholomew Roberts
February 22, 2009, 06:54 PM
Yes, I think you have a decent investment going in that case. Try googling "Return on Investment" and "Law school", there was a very interesting web article on that subject from a blogger in the community lately.

Hkmp5sd
February 22, 2009, 08:11 PM
For the purpose of getting NFA items, go with the Living Trust over a LLC. There are no annual requirements to keep it going. Once you start it, it's there. You just go back and update the paperwork with new purchases. It will last until you die.

pichon
February 22, 2009, 09:02 PM
For the purpose of getting NFA items, go with the Living Trust over a LLC. There are no annual requirements to keep it going. Once you start it, it's there. You just go back and update the paperwork with new purchases. It will last until you die.
The thing about the living trust I dont like is that I have heard talk from attorneys who seem to be in the know that trusts may only be a temporary loop-hole. LLC's seem to be a more secure way of obtaining and retaining these things.

Hkmp5sd
February 23, 2009, 04:17 PM
Been a loop hole since 1934. :) As long as it is legal when transferred, no biggie. At the most they will merely stop transfers to a Trust at some point.

I don't like the annual filings needed to keep a LLC going. If you let the LLC lapse, all NFAs must be transferred. NFA items are a corporate asset. Gotta pay taxes. With a Trust, they are there till you croak.