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Washington State - Why not a Corporation?

Discussion in 'NFA Weapon Discussion' started by NoEcm, Jun 25, 2011.

  1. NoEcm

    NoEcm Seattle Member

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    With all the threads regarding trusts for Class III stuff, why not a corporation?


    Back in 2001 I formed a Washington State non Profit to hold my suppressors.

    The one time Registration fee was $30

    My annual renewals are $10.00 per year (I do this online and I file my annual report at the same time. Takes me ~10 minutes total to complete everything).

    I can add Officers (Wife and Kids) to the Corporation online at anytime. Takes less than 5 minutes.

    Advantages that I can think of:
    -I'm told that the ATF processes the paper work for Corporations faster than for trusts (anyone know this for sure?)
    -Able to add and remove Officers (Family) to the Corporation at anytime online
    -The Corporation should last forever as long as the $10 renewal gets paid every year
    -The Certificate of Incorporation can be used for other stuff also (think and be creative)

    Disadvantages that I can think of
    -$30 registration fee and the $10 annual renewal. So far I have paid $120 in fees to the State of Washington.

    Also. For anyone thinking of forming a Washington State Non Profit Corporation for their Class III stuff, don't pay the extra $20 expedite fee. Your corporation is formed quicker but you do not get your Certificate of Incorporation any quicker and a copy of the Certificate is needed and sent in to the ATF with the rest of your paperwork

    Any other thoughts or comments for Trusts vs Corporations?
     
  2. Nwcid

    Nwcid Yakima and N of Spokane Well-Known Member

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    Cause you can do all the same with a trust but you don't have to worry about forgetting to renew it and no fees to the state............
     
  3. wired

    wired Yakima Well-Known Member

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    Ive used both in Washington going back nearly 20 years. I see no advantage to the corporate route over the trust route . Corporate just costs more and requires more paperwork.
     
  4. PBinWA

    PBinWA Clark County Well-Known Member

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    What about a Sole Proprietor LLC is that permitted too? Only asking because I already have one. ;)
     
  5. Abiqua

    Abiqua Oregon Active Member

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    Yes. Legal entities such as trusts, LLCs, and corporations are treated the same. I wouldn't mix business with pleasure though, I would have a stand alone NFA only entity.
     
  6. PBinWA

    PBinWA Clark County Well-Known Member

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    Good point. I guess I could add silencer research to the "consulting portion" of my business and then write them off as an expense. Probably wouldn't stand up to an audit but it would be nice if it could.
     
  7. dj_fatstyles

    dj_fatstyles renton New Member

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    tried it a few years ago. doesnt work unless it adds up to a certain amount.
     
  8. NoEcm

    NoEcm Seattle Member

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    The UBI number issued to my Corporation has opened many doors and has provided lots in the way of savings. Much more than the initial $30 registration and $10 a year renewal I've been paying.
     
  9. deen_ad

    deen_ad Vancouver, WA Well-Known Member

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    Same for us!!


    Eight U.S. Presidents have been NRA members. They are: Ulysses S. Grant,
    Theodore Roosevelt, William Howard Taft, Dwight D. Eisenhower,
    John F. Kennedy, Richard M. Nixon, Ronald Reagan and George Bush

    80 MILLION gun owners didn't shoot anyone today, a few criminals did!

    ----------------------------------------------------------

    The "Feedback Score" is low by 4, not everyone posts it I guess.

    Deen
    NRA Benefactor/Recruiter
    Washington Arms Collector member
    South West Washington Arms Collector member
     
  10. waltermitty

    waltermitty seattle Active Member

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    because, as a non-profit corporation (not 501c3) the price is as stated earlier in the thread. i get far more 'small business' discounts for purchases from a variety of
    businesses that I wouldn't get as a Trust. :)
     
  11. phathom

    phathom Vancouver, WA Member

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    Interested in this, any directions on how to form a nonprofit corporation for NFA purposes?
     
  12. waltermitty

    waltermitty seattle Active Member

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    phathom,
    i went to my local library, as well as networked with other Title 2 afficianados who
    may have done similar. kind of a big study group where folks helped each other.

    now, having said that, the OR requirements will differ than those of neighboring WA
    so you may want to start here. Oregon Secretary of State Corporation Division

    note that there are two major types of non-profits:

    • simple, not for profit corporations
    • tax exempt, IRS 501c3 compliant, non-profit corporations

    the first require much less paperwork, policing, qualifications, maintenance, etc
     
  13. phathom

    phathom Vancouver, WA Member

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    I'm actually moving to WA within a month, so the WA stuff would apply.
     
  14. NoEcm

    NoEcm Seattle Member

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    Example. The Mrs. has used our UBI number to gain complementary admittance into various women’s stuff trade shows; jewelry shows, bead shows, knitting shows, etc. and inside the shows, it also allows her admittance and discounts inside the "wholesale rooms". If it keeps her happy, I’m happy and my NFA stuff is happy.

    Hint, it you’re going to use your UBI number for discounts and stuff, make sure you pay the sales tax (if applicable).
     
  15. waltermitty

    waltermitty seattle Active Member

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    :thumbup:
     
  16. waltermitty

    waltermitty seattle Active Member

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    if you want to PM your email address, I can fwd something to you. it was compiled
    by Seattle King County Bar Assoc "Incorporating in Washington State"
     
  17. ZeroRing

    ZeroRing 26th District, WA Active Member

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    So if the "corporation" is the legal owner of, let's say a suppressor, and you are an officer of the corporation... what sort of paperwork/identification do you need to carry with you to satisfactorily "prove" to the authorities that the suppressor that you are finally able to use is in fact, YOURS?

    Interesting thread... :thumbup:
     
  18. waltermitty

    waltermitty seattle Active Member

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    i always carry travel papers specific to the Title 2 item(s) I've removed from the safe.

    for others who are officially deemed officers of the corp, the Articles of Incorporation
    would be the next official document to include, which lists each officer. just be aware
    that simply by naming an individual as a officer does not grant them legal access to the
    firearm....if they do not otherwise meet state or federal qualifications for firearm ownership.
     
  19. NoEcm

    NoEcm Seattle Member

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    Copies of your Form 4's will link ownership of the suppressor to the Corporation.

    To link the Corporation to an individual:

    Go to the Washington State Corporations Search Page and look for your corporation: Corporations: Advanced Search

    Once you find your corporation and bring it up, scroll to the bottom of the page and select "View Additonal Information"

    This brings up a page that shows the expiration date of the Corporation and a list of the Officers.

    Print and you have all the information that you need.

    Here's an example (Ace Hardware): Corporations: Registration Detail