Estimated reading time: 7 minutes
Zero-dollar NFA transfers sound amazing until you hit the real costs. Before you turn that brace AR into an SBR, read the travel rules, trust traps, penalties, and long-term risks that most shooters ignore.
The Zero Dollar Hook And The Catch
Ever since the National Firearms Act of 1934, NFA items, including short-barreled rifles and silencers, have had a tax of $200. That much money 90 years ago was equivalent to almost $5,000 today. Imagine buying a $500 AR and then having to spend $5,000 on taxes. Ridiculous. This is all about to end, thanks to the big, beautiful bill passed earlier this year. Starting on January 1, 2026, you will no longer need to pay $200 to SBR your rifle. It will cost $0 but still requires registration. Great news, right? We can register SBRs, take our braces off, and live happily ever after. As Lee Corso would say, “Not so fast, my friend.”
There are a bunch of reasons not to trade your AR pistol for an SBR. Here are the top ones, in no particular order.
Table of contents
- The Zero Dollar Hook And The Catch
- Permanent Registration As An NFA Item
- Out-of-State Travel And ATF Form 5320.20
- Loss Of Options And Configuration Lock
- Loaning And Trust Hassles
- Lost Or Stolen NFA Items
- Potential Future Risk
- Resale Is A Mess
- Vertical Foregrips On Braced Pistols
- Pistols Are Legal In All 50 States
- Guns Are Like Shoes
- Quick Rules And Risks
- Related Reads From GunsAmerica Digest
Permanent Registration As An NFA Item
Once a serialized item is made into an NFA item, like an SBR, it is difficult to remove from the registry. The safest way to take a serial number off the NFA list is to destroy the firearm and make it unusable. The ATF-approved method is to take a torch and cut the receiver in three places with quarter-inch cuts. Band saw type cuts are not allowed. Many of you might know about the CMP program that allows citizens to buy military surplus weapons directly. Rifles and pistols from WWI, WWII, and Korea live in many homes thanks to this program. Unfortunately, the M14 will never be sold to Americans because it began life as a machine gun. ATF will not allow the CMP to make new receivers and use parts from the M14s to build new rifles. All the parts are now considered machine gun parts. The point is this. Once you make an SBR, it will be an SBR until you destroy it or sell it.
Out-of-State Travel And ATF Form 5320.20
If you want to travel out of state with your SBR, you have to get permission from the ATF. You have to fill out ATF Form 5320.20 for every SBR you want to travel with. Even if ATF approves it, you have to make sure the state you are traveling to allows SBRs. You have to do this for every trip for every SBR you are taking. Failure to do so could cost you up to 10 years in prison and $250,000 in penalties. Hopefully, it gets approved in time for your trip. Painful.
Loss Of Options And Configuration Lock
AR-15s are Legos for men, or the male version of Barbie dolls. There are infinite options to accessorize and modify weapons, especially AR-15s. Once you make an SBR, it has to remain in the configuration that you made it in, or you have to have the ability to return it immediately. This includes caliber and barrel length. With a pistol brace AR, this is a non-issue. Change uppers and calibers as you wish.
Loaning And Trust Hassles
This is a big one. Unless your SBR is on a trust and the person you want to loan to is on the trust, you cannot loan out the SBR. This applies to your kids, dad, brothers, and everyone. As the owner of the SBR, you have to be present for someone else to use it. You are risking federal penalties if you violate this and get caught.
Lost Or Stolen NFA Items
Many shooters have truck guns, and a pistol-braced weapon is a great option for the vehicles in our lives. Most stolen weapons are taken from vehicles. One of the worst feelings in the world is when a gun owner cannot find one of their guns. Multiply that feeling by 100 if it is an NFA item like an SBR. If it ends up lost or stolen, it is a different process than a standard firearm. When a firearm is lost or stolen, the owner typically notifies local law enforcement. For NFA items, there is an additional step of notifying the ATF. Once the ATF knows about it, you can expect a call, a visit, or both.
Potential Future Risk
This one is subjective, but many people believe that sometime in the future, owners of NFA items are setting themselves up for visits from the government. If laws change or administrations change, NFA owners would be an easy list to generate for confiscation. This is the worst case, but if you own NFA firearms, you are known to the Federal government.
Resale Is A Mess
Selling guns is not something many of us do, but if you decide to sell your SBR, it is not simple. If you live in a free state, you can meet someone in a grocery store parking lot and sell your regular guns for cash, no receipt needed. With an SBR, it gets complicated. If the buyer lives in your state, you can do the Form 4 directly to them. Once approved, you can arrange pickup. If you are selling out of state, you have to transfer it to your FFL or SOT dealer, then they transfer it to the out-of-state dealer, and finally, that dealer can transfer it to the buyer. Messy.
Vertical Foregrips On Braced Pistols
If you have a pistol-braced weapon, you know you cannot have a vertical foregrip. In my opinion, no big deal. They are a meh accessory. Definitely not worth making an SBR for.
Pistols Are Legal In All 50 States
Handguns and pistols are legal in all 50 states (with limitations), but SBRs are not. There are far fewer restrictions on pistols than on NFA items. It is up to you to know what is legal where you live.
Concealed weapons permits may cover you with a pistol, whereas a loaded SBR rifle might violate state laws and game and fish laws.
Guns Are Like Shoes
I have a saying I like to share when someone asks me why I need more than one gun. My answer is this. Guns are like shoes. You need a pair for every occasion. If you can, have both an SBR and a pistol-braced weapon. If I could only have one, I would choose the pistol brace. There is nothing a pistol-braced weapon cannot do that an SBR can do. The brace pistol will do it with far fewer legal restrictions and hoops. Whatever you do, make sure it is legal where you live.
Quick Rules And Risks
| Topic | Key Takeaway |
|---|---|
| NFA Tax History | $200 since 1934. Equivalent to almost $5,000 in 2025 dollars. |
| Travel With SBR | ATF Form 5320.20 required for each trip and each SBR. |
| Penalties | Failure to comply can risk up to 10 years in prison and $250,000. |
| Configuration | SBRs must remain in registered configuration or be returnable to it immediately. |
| Loaning | Pistols are legal in all 50 states. SBRs are not. |
| Lost Or Stolen | Notify local law enforcement and the ATF. |
| Future Risk | Owners of NFA items are known to the government. |
| Vertical Grip | Not allowed on braced pistols. Not worth the stamp just for a grip. |
| State Legality | Pistols legal in all 50 states. SBRs are not. |
Pros And Cons Of Keeping The Brace
- Pros: Fewer travel headaches, more configuration freedom, easier to loan standard pistols, simpler resale of non-NFA firearms, fewer state traps.
- Cons: No vertical foregrip on braced pistols, some shooters prefer true SBR ergonomics, NFA stamp may provide peace of mind for some owners.
Related Reads From GunsAmerica Digest
Aaron was born into a 2A friendly family and firearms have been a part of every stage of his life. He started competing at 11 yards old and still competes actively in the action shooting sports with 3 gun being his main passion. Aaron enjoys working on and building guns, teaching himself and learning from others whenever possible.
Aaron has worked in or been a part of the firearms industry for over 20 years, including being the Operations Director for an AR15 manufacturer for 10 years. Aaron is also active in his local shooting community as the President of his local gun range. He also runs a national level 3 gun match every year as well as monthly shooting events at the range.
Experience
Gunsmith that builds 2011s, ARs, Rifles and Shotguns
Competitive Shooter, 3 gun, 2 Gun, USPSA, IDPA, Long Range
Board member and Range President
Firearms Industry for 20 years
So many inaccurate statements as pointed out. Another is the dumb comment about ATF not letting CMP make new receivers for M14 rifles “because they were machine guns.” Duh. Plenty of companies have and still do, make perfectly legal M14 SEMI AUTO receivers to accept military parts. Ditto with FAL’s, AK’s and many, many other formerly full auto weapons.
I will be the 1st to admit that I do not know how NFA item transactions work having never been involved in the process.
That said, given that almost every comment below is saying the author is either flat out wrong, or partially correct, one has to wonder about the credibility of the author. (this has nothing to do with the article, but even the authors bio has a typo in it: “He started competing at 11 YARDS old”).
I also wonder, as others have expressed, are these articles proofed by anyone not only for grammatical errors, but also for content, before they are published on this site. Not 1 person from GunsAmerica, nor the author, have made any replies to either defend or at least clarify the article.
Given that the editor-in-chief of GunsAmerica Digest is also the editor-in-chief, and if memory serves me correctly 1 of the founders of Suppressor Academy (which is nothing but NFA items), and is also a lawyer, he should be well versed in NFA transactions.
What say you, True?
LOL, this is the worst article I’ve ever read on this site. Pure FUD and misinformation. The “configuration lock” section alone is worthy of a permanent ban of this author from submitting articles to publish.
I’m not only shocked GunsAmerica let this be posted, but surprised they have still left it up and without any correction. This article reads more like a hit piece than an informative comparison with incredulous bias towards pistol braces. For anyone who actually cares about accurate information, let’s address each point in-depth. This will be long and hopefully none gets cut off.
“Permanent Registration as an NFA Item”
This is absolutely false. Unlike machine guns which follow the “once a machine gun, always a machine gun” rule, SBRs/SBSs/AOWs are only considered title II firearms while configured as such. Once returned to title I configuration, you can submit a letter to the ATF requesting removal of the firearm from the registry. The caveat is that, once removed, you can no longer have that firearm in title II configuration unless it is registered again. Remember that firearms that originally started as long guns must return to being long guns (e.g., you cannot turn a rifle into a pistol) when being removed from the registry. Factory SBRs can only be made into rifles.
“Out-of-State Travel and ATF Form 5320.20″
Yes, it is true that you must file for interstate transport of title II firearms. Form 5320.20 allows you space for up to three items per form (AOWs and suppressors are exempt). You can file for a duration of up to one year and processing is fairly quick. I received an approval a few months ago within five days of filing and this was before eForm 20 was available. You can also request the ATF to expedite it in legitimate urgent circumstances.
Additionally, as explained before, a firearm is only title II when configured as such. In absence of parts that would make it a title II firearm, you can transport it interstate without approval. Ergo, I can remove the stock and/or vertical foregrip off of what started as a pistol or I can return a rifle back to a 16″ barrel and 26” overall length. As long as it remains that way while-out-of-state and I leave those parts at home, it is treated like any other title I firearm. Remember to ensure your firearm is legal in the state you are traveling to regardless of whether or not it is an NFA item.
“Loss of Options and Configuration Lock”
This is, again, simply untrue. SBRs allow for every accessory option and configuration as a pistol and more (stocks, foregrips).
When filing a Form 1, you are required to submit the details (model, serial, barrel length, caliber, overall length) of the title II firearm as created. However, so long as it is the same registered serialized receiver, it does not have to stay in that configuration. You can send the ATF a letter notifying of any additional configurations or changes. Whether you have any legal obligation to has been subject of much debate, rumors and hearsay (e.g., “you can’t go lower than what you listed”, “you must be able to return it to the configuration as registered”).
The general consensus and most common answer from the NFA branch has been that any length or caliber configuration is fine after registration. The registry exists to ensure the tax is paid on the item and the law does not appear to address changes that do not alter the classification of the firearm. They do recommend notification of at least permanent changes to keep the registry up-to-date and prevent confusion such as when selling.
“Loaning and Trust Hassles”
Yes, this is true. NFA items require an individual to either be in the constant presence of a registered owner/trustee or to be a listed trustee themselves. Again, this only applies to the firearm while it is in title II configuration. You can lend out the firearm in title I configuration as long as the individual does not have access to the parts that would make it a title II firearm. Whether this “is a big one” is subjective.
“Lost or Stolen NFA Items”
This is being made to sound scarier than it needs to be. You report the stolen firearm to both local police and the ATF NFA branch within forty-eight hours. It’s not really any different otherwise.
“Potential Future Risk”
At least the author admits it’s subjective this time. Friendly reminder that the ATF has been caught illegally photographing and making copies of 4473s multiple times. Another reminder that the ATF has flip-flopped on shouldering a brace several times as well including the SBR amnesty registration.
It has been said that the NFA registry is not as concise or accurate as they’d have you believe, especially when you can return most title II firearms back to title I without notification. Still, it’s an unconstitutional permission slip for something that shouldn’t even be regulated so it’s understandable if someone doesn’t want to go through that on principle.
“Resale is a Mess”
Again, this feels a bit exaggerated. The part about Form 4 transfers is true if and only if you are selling it as a title II firearm. Once more, you can return back to original title I configuration and can sell it like any other. ATF recommends that you notify them to remove it from the registry as it makes it less confusing if the purchaser later decides to file their own Form 1 for it.
Some prefer to sell in title I configuration due to the short Form 1 wait times in comparison to Form 4 transfers. Realistically, unless it’s some sort of rare firearm or factory SBR, most won’t bother with the hassle of a Form 4 for one used when they can buy brand new and file a Form 1 much faster without any prior engraved owner information. Engraving the receiver with the name of the registered owner/trust and the city and state to a minimum depth of 0.003” when building your own on a Form 1 is a requirement not mentioned by the author.
“Vertical Foregrips on Braced Pistols”
This is purely opinion and a terrible take. Many firearms come in neutered title I forms for the US market but were originally designed with vertical foregrips such as the MP5K and TP9. Without one, they can be awkward or uncomfortable to hold with how little room there is. Even if just sticking to ARs, I personally much prefer having the vertical foregrip on my 7” 9mm upper than without. They help immensely when controlling muzzle rise when rapid firing or in forced reset and full-auto.
“Pistols Are Legal in All 50 States”
Not so for AR pistols or other “scary” ones with arbitrary “military features”. SBRs are legal in most every state while those with restrictions typically are the usual suspects that also outright ban or restrict features on “assault weapons”. Some states, like New Jersey, have convoluted laws that only allow unrestricted “evil features” if the firearm is assembled as an “other” or is a registered AOW, both requiring vertical foregrips. In such cases, having a title II firearm can actually be less hassle unless you like featureless rifles and fixed magazines.
Concluding Remarks
Overall, this article is really just a big puff piece for braced pistols chock full of misinformation on the NFA. “There is nothing a pistol-braced weapon cannot do that an SBR can do” is one of the most uninformed statements I’ve seen from a gun publication. In practical application, a stock is superior in every way to a brace and the author severely downplays having vertical foregrips just because he doesn’t care for them. In legal application, imagine a pistol registered as an SBR as a higher tier above braced pistol that can also be reverted back as needed.
At risk of sounding too harsh, maybe the author lives where SBRs are illegal because this article goes above and beyond with fear tactics starting from the very title declaring free stamps to be “a horrible idea”. Genuinely, the only thing a braced pistol has over an SBR aside from the federal registration and Form 1 engraving requirement is the ability to conceal carry and that’s only depending on the state. However, that point also becomes moot if the firearm started as a pistol and you are able to return it to title I status. In fact, every single point listed is either false, exaggerated or only an issue while in title II configuration.
Please actually have an editor verify information or claims and get authors who know what they’re talking about. It’s as if this exists solely to scare as many people away from NFA items as possible and in no way presents factual arguments in a fair or balanced manner. I’m no lawyer, but I have been buying NFA items and building SBRs since the moment I turned twenty-one. This really isn’t that hard.
From experience here the ATF doesn’t give a flip if any NFA item gets stolen.
A good friend had 5 SRS’s and a machine gun stolen. ATF said to call local authorities and hung up. They didn’t even want the serial number. Local just made a report and left. Only recovered one gun when the guy accidentally shot himself putting it in his pants belt line. He refused to cooperate. So all his NFA items are still in the wind.
100%. People are too stupid to have an SBR. We can’t trust the common person to do anything. Daddy government should control everything.
If that sounds stupid. That’s the point. If you’re argument is “some people won’t take two seconds to google the rules” then you ca apply that to literally everything.
So the obvious conclusion is to get rid of the NFA. Should be a simple legislative process if P Bondi were on board. She seems to prefer the government thumb on your firearms.
This is the dumbest article I have ever read. It’s not entirely accurate and exaggerates everything else. SBRs are literally better than braced pistols in every way if you actually shoot your guns. I’m shocked someone would actually even argue to the contrary.
ROFLMAO!! Someone please tell the so-called author that he is full of chit! As others have said, please remove this conglomerate of bs before someone gets into trouble for believing that “everything posted on the internet is true and correct”!!! I had to change my drawers twice now from laughing so hard that I pissed my britches.
Some of that article is misleading.
NFA has been the law of the land for over 90 years. It is what it is, so if you want a machine gun, suppressor SBS, SBR, or AOW you must play the gubbermints game. It is time consuming, but not overly difficult. If one tires of an item, or gets unable to enjoy it, one lists it on one of the many web sites, affect a transfer, and now it is someone else issue, and you are clear. Not much more difficult than selling most weapons.
I’ve been a FFL for well over 30 years, much of that an SOT. I own got a good few of these various implements, and sold at least that many. One of the big stumbling blocks has always been people’s dread of paying the IRS to own one. Very soon that will be a non-issue, thankfully!
The configuration part isn’t hard. Do caliber: “Multi” and barrel length: “2 inch” that way any barrel 2″ and above is good. There are a lot of other guns and reasons to do SBRs. There will always be headaches till the “34” is gone completely. Been doing this since the 90s and can’t believe how far we’ve gotten at slaying this dragon. Maybe within our lifetime???
The answer is to get rid of the filthy unconstitutional NFA and GCA and be done with it and get the ATF out of our gun closets!
But we have a disgusting pansy ass SCOTUS that will not declare these travesties against the 2nd Amendment as unconstitutional which they should be!
PROVE ME WRONG!
Please delete this article ASAP. As others have noted, this is by far the most inaccurate bunch of garbage I’ve read in years. The only thing lacking to make it complete would be “You need one of those Class 3 licenses to own one.”
Good grief, Guns America! Where did you find this prize of an author???
Not a good look for a serious site.
Wow this right here goes to show u that someone writes it and claims they have all this experience and time makes them a expert. This why everyone should always do ur own research on laws. I’m not saying u haven’t worked in the firearms industry or shot gun matches, but it shows u probably just listen to other people spread false things at the range and then swear by it like it’s 100% true. There are many people that will risk their freedom and like yourself other people’s freedom and money just cause they heard it. I see this every day when talking about guns and especially NFA items. This is why our country still believes HOLLYWOOD when they claim suppressors are only used by criminals and assassins. Also that it makes any gun silent when fired. We have to do better and make sure we know what we r talking about when giving advice. Then there is the biggest issue here that this is being posted online for the world to read and use to spread more falsehood. GUNSAMERICA.COM you are responsible for what ur company is putting out and this is just wrong. Please do better. I surely hope yal make this right ASAP and make double sure research is being done before posting false statements that people could go to prison for.
I agree, but when the banning of AR pistols was upon us, I had 3 of them already built. Taking the BATFE up on their “free” SBR seemed to be better than nothing. Now that the pistols are legal again, the SBR option makes no sense -at least until Democrats get back into power. The option to destroy the SBR receivers and to report it to the BATFE is a great idea.
These days in the U.S., if you want to travel with a compact rifle in your trunk, you need a bolt action centerfire with 10-round detachable magazines and 16″ barrel. This is a very effective weapon which is legal just about everywhere. Stay safe. j
Definitely one of the worst articles I have ever read on this site. Fear mongering with inaccurate information. Even if someone were to believe the article a second lower receiver with a pistol brace would counter almost every point listed.
Bear with me on this as I can’t remember where and when I heard this… Or from whom. But I recall something being said that possibly in the near future, requiring SBR’s to be an ATF item goes against the constitutional rights of people. This would be a direct result from removing the ATF tax stamps for SBR‘s. This report stated that it’s quite possible that SBR’s will be taken off the ATF list. In other words… No tax stamp, no reason to have it on the ATF list.
Does anyone have anything in writing on this subject or have you heard or seen something similar being said?
Who qualified you to write this article? You’re clueless. All you have to do is write a letter to the ATF asking them to remove the weapon from the registry. It’s simple; I have done it. I put a 16” barrel on a previous SBR and sent the letter. Got my “OK” reply in short order from the ATF, and this was back when lead times were long.
This is one if the most inaccurate, fear-mongering, articles I’ve read here
From what I read, UN -SBR -ing or deregistering a short barreled rifle and converting it into a non NFA firearm is possible if the firearms started out as a pistol. If it was manufactured as a rifle it can’t be done.
You are incorrect.
A long gun such as an AR can be returned to Title 1 status with a simple swap of an upper that has a barrel over 16”. You are not even legally required to report the change from a Title II rifle back to a Title I rifle.
You have no clue to most of what you printed in this post. Do some research before you scare a whole bunch of people into believing what you said. You only got part of it correct. Want a complete correction, then write me back and I will fill you in.
I live in the free Lone Star State and firmly believe in and support Constitutional freedom. This whole registration of any firearm is total bs and needs to be legislated away. Congress needs to get off their slow moving behinds and destroy forever the NFA AND the GCA. I will never build or buy any firearm that requires registration simply because of my love of freedom. Get a move on, Congress!!!
Can the editors please ensure authors know what they are talking about before posting articles? There is so much false information in this article that it has shaken my trust in Guns America. First major error: claiming that you need to destroy an NFA item to remove it from the registry. It is actually easy to remove an item from the NFA. You simply send a letter with the make/model/serial number, reason for removing the item (returned to non-sbr configuration), and hand sign and date it. Second major error: implying that AR based pistols are legal in all 50 states. AR based pistols are definitely NOT legal in all 50 states. People in certain Communist States could get in a lot of trouble thinking they are allowed to have a braced AR. In the future, please do a quick Google search to make sure you have your facts correct before posting articles. There are plenty of people who look to your organization for information and Trust what you print. I am sure you don’t want to screw people legally or financially.
Sorry, but there is a lot of bad info here, starting with “Once a serialized item is made into an NFA item, like an SBR, it is difficult to remove from the registry.” This is simply not true. All you have to do is convert your SBR either back into a pistol (if it started as a pistol), or back into a rifle (if it started as a rifle it can’t be converted into a pistol – ever), and then send the ATF an email/letter asking to have it removed from the NFA. That’s it. Not sure why you think the receiver has to be destroyed.
The registration database is for tax purposes only. A national gun registration is unconstitutional. Since there is no longer a tax, a tax of $0 is not a tax, the registration for SBRs and suppressors after Jan 1, 2026, is unconstitutional. This, of course, has to go through the court system first.
right because the govt never abused power and data before.
Having a spare pistol lower solves all these “problems.” Author is a retard.
Theres still time to edit this to correct everything you got wrong before the internet finds it.
The author is a fucking idiot.
This is a great article, and us a great reminder of what we sign onto when we do a form 1. In my case, the form 1 sbr is the only path I have to a legal firearm. For this that live in COMMUNIST states, like Maryland, as I do, your only option is form 1 SBR. In Maryland the COMMUNIST party has made it illegal to own a braced short barrel weapon.
This is fearmongering.
First, if you have an SBR on a Form 1 (as opposed to a factory SBR on a Form 4) it is not at all hard to deregister that item. Once you do this, you can throw a brace back on, call it a “pistol” again, and sell it to whoever you want.
The ATF Form 20 is a mild hassle for sure, but again, only a mild hassle. If you have the NFA item in the first place, you already have an ATF eforms account. Just log in, do the Form 20 for whatever states you want to take it to, and it’ll be approved shortly. I live in an area where the best places to shoot are over the state line, so everyone does this. A Form 20 can be good for up to a year.
You shouldn’t keep a gun in your truck anyway, because doing so is just inviting theft.
While I agree pistols are legal in all 50 states, many have restriction on the definition of what qualifies a pistol. Weight, magazine placement, barrel length, and state DoD are all prerequisite requirements. States like NJ, NY, CA, MA, CT, MD, MI, WI have very strict requirements for pistols which AT pistols will never qualify for.
As an example, in NJ a pistol cannot have a magazine inserted anywhere but through the grip and must be 49.9 oz or under unloaded.
CA and MA require any pistol to be approved by the state cover meant before sale can occur. AR pistols are not approved (to the best of my knowledge) en mass. If they are approved, only specific manufacturers/models which must be named outright.
No disagreement with your article, just a clarifying statement for trouble states.
Correction: AR not AT
There are a small handful of AR pistols that are on the Kommiefornia handgun roster. However, they are single shot manually operated. You can buy one and convert it to semi auto (attach different upper) but it has to configured properly to not be considered an ”assault weapon”. Even then there’s no guarantee that an overzealous cop won’t bust you for having an SBR.