They know everything and have all the details on all firearms before they approve him. so why approve and then go "audit" something?
ATF: "This is a high volume of transfers, something seems fishy here. We need to look into this. But first, approve everything he has pending approval!!"
Why would they approve him? Because they have to! There is a misunderstanding here. I am saying someone that legally buys an NFA item can buy as many as they want AND the ATF has the authority to go investigate/speak with anyone they want if they choose to. All I am saying is they may have a threshold that when exceeded initiates a flag. It doesn’t mean that they are going out to hassle the guy. The ATF could call the guy and ask if they could make an appointment and stop by and he could tell them to go pound sand or he could say yes.
They can choose to audit (an FFL/SOT) because audits are part of having the license or because they have a concern, it’s that simple. If the guy buys 20 NFA items they may go and talk to him to see if he is doing something suspicious, what the person’s state of mind is etc. Certain circumstances can and do trigger reviews. It could be as simple as an ATF agent, seeing this guys 20 approvals and maybe the guy has a 120 NFA items total, the agent goes to his supervisor and that guy says, ”Look at this guy, John Smith’s history he buys nothing for several years and then he buys a high number, he submitted 14 in 2020, 31 in 2018, it’s just this guys pattern, we’ve gone out and talked to him before, nothing to be concerned with here.” It’s about patterns and profiles.
Also, no FFL/SOT would transfer to themselves on a Form 4 instead of to the FFL on a Form 3. Those Form 3s are tax free (unless coming from a form 4) and would stay in that individuals possession even when their FFL expires.
Sure they would if the FFL is going out of business. A person decides they are tired of paying the yearly $1000 SOT tax and decides to retire. They buy all the cans they want personally through the FFL/SOT use them whenever they want, while they wait for the final approvals of the form 4s to come through and close the doors or call the ATF and tell them they are going out of business and get all of those designated personal cans approved instantly.
The reality is neither you or I have enough information of what this guy means by he ”might be subject to an audit.” The guy has said if anyone has any questions he will answer them. I don’t have a Reddit account or I would ask him what he specifically means by the audit. If you have a Reddit account maybe go and ask him and post back here what he says.
Senidng to local law enforcement is part of the rules here for two or more handgun buys in seven days.
I‘ve provided some possible scenarios, but certainly not all of the possible reasons for the audit or exactly what the term means to him.