What It Allows
A Class 3 SOT dealer may acquire, hold in inventory and transfer NFA items such as suppressors, short-barreled rifles and shotguns, machine guns lawfully transferable to their category, and destructive devices, subject to license type and state law.
State Law Governs
Federal SOT status does not override state restrictions. Several states prohibit or limit specific NFA categories regardless of federal status, and transfers to residents follow state law.
Cost And Maintenance
Class 3 SOT is an annual tax filed on Form 5630.7 for the July–June tax year and paid on Pay.gov, on top of the underlying FFL. Transfers use the NFA forms and require accurate NFA recordkeeping alongside your normal bound book.
Fees, forms and processing rules change through ATF rulemaking. Confirm current requirements with ATF and your state and local authorities before you file.