The National Shooting Sports Foundation (NSSF) has issued a statement supporting the recent passage of the Firearms Excise Tax Improvement Act of 2010 (H.R. 5552) by unanimous consent in the Senate.


The bill passed the House of Representatives at the end of June by a vote of 412-6. The House bill was sponsored by Rep. Ron Kind (D-Wisc.) and Rep. Paul Ryan (R-Wisc.). The Senate bill (S. 632) was sponsored by Sen. Max Baucus (D-Mont.) and had 30 cosponsors, including lead co-sponsor Sen. Mike Crapo (R-Idaho) who co-chairs the Congressional Sportsmen's Caucus.


According to the NSSF, the legislation “corrects a longstanding inequity in the Internal Revenue Code by permitting firearm and ammunition manufacturers to pay the federal excise tax payment on a quarterly basis, just as other industries that support conservation through a federal excise tax do.”


The NSSF said currently, firearms and ammunition manufacturers pay this tax on a bi-weekly schedule, forcing many manufacturers to borrow money to ensure on-time payment. Industry members spend thousands of staff-hours administering the necessary paperwork to successfully complete the bi-weekly tax payments monies that are due to the federal government long before manufacturers are paid by their customers.

Importantly, the NSSF said HR 5552 pays for itself and does not add to the budget deficit. Nor does the bill lower the amount of conservation dollars collected by lowering the tax rate. It simply adjusts the payment schedule to a quarterly period.


“This bill strengthens wildlife conservation funding in America,” said NSSF Senior Vice President and General Counsel Lawrence G. Keane. “By enabling manufacturers to grow their businesses, excise tax receipts will actually grow. We are thankful for the tremendous support and leadership of Senators Max Baucus and Mike Crapo. Clearly, their vision in championing this bipartisan, pro-conservation, pro-business legislation allowed for smooth passage of the bill.”


Keane added, “We also want to thank Majority Leader Harry Reid for expediting the legislative process by allowing the Senate to vote on the House-passed version of the bill. Senator Reid has long supported and fought for issues important to our industry and for hunters and gun owners both in Nevada and across the United States.”


The firearm and ammunition excise tax is the major revenue source for funding the Wildlife Restoration Trust Fund (also known as the Pittman-Robertson Trust Fund). Last year, firearm and ammunition manufacturers contributed approximately $450 million dollars to wildlife conservation through excise tax payments.