§ 479.33 Special exemption.

  1. a.(a) Any person required to pay special (occupational) tax under this part shall be relieved from payment of that tax if he establishes to the satisfaction of the Director that his business is conducted exclusively with, or on behalf of, the United States or any department, independent establishment, or agency thereof. The Director may relieve any person manufacturing firearms for or on behalf of the United States from compliance with any provision of this part in the conduct of the business with respect to such firearms. Any persons required to pay special (occupational) tax under this part will be relieved from paying that tax if they establish to the Director’s satisfaction that they conduct their firearms business exclusively with, or on behalf of, the United States or any department, independent establishment, or agency thereof (USG).

  2. b.(b) The exemption in this section may be obtained by filing with the Director an application, in letter form, setting out the manner in which the applicant conducts his business, the type of firearm to be manufactured, and proof satisfactory to the Director of the existence of the contract with the United States, department, independent establishment, or agency thereof, under which the applicant intends to operate. Persons may obtain the exemption in paragraph (a) by submitting a letter to the Director applying for the exemption. The letter must set out the manner in which the persons conduct business, the types of firearms they manufacture, import, or deal, and proof satisfactory to the Director of the USG contract under which they operate.

  3. c.(c) The Director may also relieve any persons manufacturing firearms for or on behalf of the USG from complying with any provision of 26 U.S.C. chapter 53 or this part in conducting business with respect to such firearms.

  4. d.(d) Manufacturers may request relief from a specific NFA requirement under paragraph (c) by submitting a letter to the Director. The letter must set out the manner in which the manufacturer conducts business with the USG, the types of firearms they manufacture, the nature and specifics of the USG contract or contracting operations under which the manufacturer is requesting relief from a requirement, the relief the manufacturer is requesting, and the reasons the manufacturer is requesting relief.