27 Cfr 555.41

[Code of Federal Regulations]
[Title 27, Volume 2]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 27CFR555.41]

[Page 167-168]

TITLE 27--ALCOHOL, TOBACCO PRODUCTS AND FIREARMS

CHAPTER II--BUREAU OF ALCOHOL, TOBACCO, FIREARMS, AND EXPLOSIVES,
DEPARTMENT OF JUSTICE

PART 555_COMMERCE IN EXPLOSIVES--Table of Contents

Subpart D_Licenses and Permits

Sec. 555.41 General.

(a) Licenses and permits issued prior to May 24, 2003. (1) Each
person intending to engage in business as an importer or manufacturer
of, or a dealer in, explosive materials, including black powder, must,
before commencing business, obtain the license required by this subpart
for the business to be operated. Each person who intends to acquire for
use explosive materials from a licensee in a State other than the State
in which he resides, or from a foreign country, or who intends to
transport explosive materials in interstate or foreign commerce, must
obtain a permit under this subpart; except that it is not necessary to
obtain a permit if the user intends to lawfully purchase:
(i) Explosive materials from a licensee in a State contiguous to the
user's State of residence and the user's State of residence has enacted
legislation, currently in force, specifically authorizing a resident of
that State to purchase explosive materials in a contiguous State; or
(ii) Commercially manufactured black powder in quantities not to
exceed 50 pounds, intended to be used solely for sporting, recreational,
or cultural purposes in antique firearms or in antique devices.
(2) Each person intending to engage in business as an explosive
materials importer, manufacturer, or dealer must file an application,
with the required fee (see Sec. 555.42), with ATF in accordance with
the instructions on the form (see Sec. 555.45). A license will, subject
to law, entitle the licensee to transport, ship, and receive explosive
materials in interstate or foreign commerce, and to engage in the
business specified by the license, at the location described on the
license. A separate license must be obtained for each business premises
at which the applicant is to manufacture, import, or distribute
explosive materials except under the following circumstances:
(i) A separate license will not be required for storage facilities
operated by the licensee as an integral part of one business premises or
to cover a location used by the licensee solely for maintaining the
records required by this part.
(ii) A separate license will not be required of a licensed
manufacturer with respect to his on-site manufacturing.
(iii) It will not be necessary for a licensed importer or a licensed
manufacturer (for purposes of sale or distribution) to also obtain a
dealer's license in order to engage in business on his licensed premises
as a dealer in explosive materials.
(iv) A separate license will not be required of licensed
manufacturers with respect to their on-site manufacture of theatrical
flash powder.
(3) Except as provided in paragraph (a)(1) of this section, each
person intending to acquire explosive materials from a licensee in a
State other than a State in which he resides, or from a foreign country,
or who intends to transport explosive materials in interstate or foreign
commerce, must file an application, with the required fee (see Sec.
555.43), with ATF in accordance with the instructions on the form (see
Sec. 555.45). A permit will, subject to law, entitle the permittee to
acquire, transport, ship, and receive in interstate or foreign commerce
explosive materials of the class authorized by this permit. Only one
permit is required under this part.
(b) Licenses and permits issued on and after May 24, 2003. (1) In
general. (i) Each person intending to engage in business as an importer
or manufacturer of, or a dealer in, explosive materials, including black
powder, must, before commencing business, obtain the license required by
this subpart for the business to be operated.
(ii) Each person who intends to acquire for use explosive materials
within the State in which he resides on no more than 6 separate
occasions during

[[Page 168]]

the 12-month period in which the permit is valid must obtain a limited
permit under this subpart. (See Sec. 555.105(b) for definition of ``6
separate occasions.'')
(iii) Each person who intends to acquire for use explosive materials
from a licensee or permittee in a State other than the State in which he
resides, or from a foreign country, or who intends to transport
explosive materials in interstate or foreign commerce, or who intends to
acquire for use explosive materials within the State in which he resides
on more than 6 separate occasions during a 12-month period, must obtain
a user permit under this subpart.
(iv) It is not necessary to obtain a permit if the user intends only
to lawfully purchase commercially manufactured black powder in
quantities not to exceed 50 pounds, intended to be used solely for
sporting, recreational, or cultural purposes in antique firearms or in
antique devices.
(2) Importers, manufacturers, and dealers. Each person intending to
engage in business as an explosive materials importer, manufacturer, or
dealer must file an application, with the required fee (see Sec.
555.42), with ATF in accordance with the instructions on the form (see
Sec. 555.45). A license will, subject to law, entitle the licensee to
transport, ship, and receive explosive materials in interstate or
foreign commerce, and to engage in the business specified by the
license, at the location described on the license. A separate license
must be obtained for each business premises at which the applicant is to
manufacture, import, or distribute explosive materials except under the
following circumstances:
(i) A separate license will not be required for storage facilities
operated by the licensee as an integral part of one business premises or
to cover a location used by the licensee solely for maintaining the
records required by this part.
(ii) A separate license will not be required of a licensed
manufacturer with respect to his on-site manufacturing.
(iii) It will not be necessary for a licensed importer or a licensed
manufacturer (for purposes of sale or distribution) to also obtain a
dealer's license in order to engage in business on his licensed premises
as a dealer in explosive materials. No licensee will be required to
obtain a user permit to lawfully transport, ship, or receive explosive
materials in interstate or foreign commerce.
(iv) A separate license will not be required of licensed
manufacturers with respect to their on-site manufacture of theatrical
flash powder.
(3) Users of explosive materials. (i) A limited permit will, subject
to law, entitle the holder of such permit to receive for his use
explosive materials from a licensee or permittee in his state of
residence on no more than 6 separate occasions during the 12-month
period in which the permit is valid. A limited permit does not authorize
the receipt or transportation of explosive materials in interstate or
foreign commerce. Holders of limited permits who need to receive
explosive materials on more than 6 separate occasions during a 12-month
period must obtain a user permit in accordance with this subpart.
(ii) Each person intending to acquire explosive materials from a
licensee in a State other than a State in which he resides, or from a
foreign country, or who intends to transport explosive materials in
interstate or foreign commerce, must file an application for a user
permit, with the required fee (see Sec. 555.43), with ATF in accordance
with the instructions on the form (see Sec. 555.45). A user permit
will, subject to law, entitle the permittee to transport, ship, and
receive in interstate or foreign commerce explosive materials of the
class authorized by this permit. Only one user permit per person is
required under this part, irrespective of the number of locations
relating to explosive materials operated by the holder of the user
permit.

(Approved by the Office of Management and Budget under control number
1140-0083)

[ATF No. 1, 68 FR 13783, Mar. 20, 2003]