Tax Guide for Sellers of Firearm and Ammunition Products
Getting Started

Registration

If you sell firearms, firearm precursor parts, ammunition, or related accessories, you must register with us to get a seller's permit, file sales and use tax returns, and pay tax due on your sales or purchases.

As of July 1, 2024, if you are or plan to be a licensed firearm dealer, ammunition vendor, or firearms manufacturer who makes or plans to make retail sales (that is, sales to consumers) of firearms, firearm precursor parts, or ammunition in California (RTC section 36035), you must also register with us for a California Firearm and Ammunition Excise Tax (CFET) Certificate of Registration, file CFET returns, and pay the excise tax due.

You can use our Online Services to register for a seller’s permit and a CFET Certificate of Registration.

Importers, manufacturers, and dealers (retailers) of firearms in the United States must first register with the United States Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) to obtain a Federal Firearms License (FFL) before selling any firearms. It is unlawful for people other than registered FFL holders to sell or transfer firearms between private parties or across state lines.

In addition to obtaining an FFL from ATF, firearms and ammunition retailers and firearms manufacturers in California must apply with the State of California Department of Justice (DOJ) and get the appropriate certification and licensing before making sales or transfers. To apply with DOJ, you generally must first obtain a seller's permit and a CFET Certificate of Registration from us, in addition to other documentation requirements. For more information, see DOJ's Frequently Asked Questions.

If you have questions about your seller's permit or CFET Certificate of Registration, please contact our Customer Service Center at 1-800-400-7115 (TTY:711) and select the option for Special Taxes and Fees. Customer service representatives are available Monday through Friday, 7:30 a.m. to 5:00 p.m. (Pacific time), except state holidays.

If you have any questions about registering as a licensed firearms dealer, ammunition vendor, or firearms manufacturer, please contact the State of California Department of Justice, Bureau of Firearms by telephone at 1-916-210-2300 or by mail at:

Bureau of Firearms
PO Box 820200
Sacramento, CA 94203-0200

Filing Returns

Sales and Use Tax Return

If you sell firearms, firearm precursor parts, ammunition, or related products, you are required to file regular sales and use tax returns to report your sales. If you have no transactions to report, you are still required to file your sales and use tax return and report zero transactions.

California Firearm and Ammunition Excise Tax Return

As a licensed firearms dealer, ammunition vendor, or firearms manufacturer making retail sales in California, you are required to file a California Firearm and Ammunition Excise Tax Return, reporting your sales transactions subject to the California Firearm, Firearm Precursor Part, and Ammunition Excise Tax (CFET) and pay the amount of CFET due.

The CFET return is filed on a quarterly basis. Your return and payment are due on or before the last day of the month following the end of each reporting period. For example, if the reporting period is for the first quarter (January 1 through March 31), the return and tax payment are due on or before April 30.

You should include transactions in the reporting period that the sale was made. A sale occurs in the reporting period when there is a transfer of title or possession (whichever occurs first) of the tangible personal property for consideration. In the absence of an explicit title clause that passes title sooner, the sale is deemed to be made when possession of the property sold transfers to the purchaser. This is the case for both sales and use tax and CFET.

  • For example, a customer goes into a California Firearms Dealer's (CFD) store on June 28 and selects a firearm, pays for the firearm, including the applicable state fees, and is scheduled to pick up the firearm after the mandatory 10-day waiting period on July 8. Since neither possession of the firearm nor title to the firearm can transfer to the customer until after the mandatory 10-day waiting period has passed, the CFD does not make the sale when they charge the customer on June 28. The sale occurs when the customer picks up the firearm on July 8. For sales and use tax and CFET purposes, the firearm sale would be included in gross receipts for the reporting period in which the sale was made (the reporting period that includes July 8). This is the case even if payment is received and an invoice is issued in a prior period.

You must electronically file returns on or before their due date. You must file a return even if you do not have any reportable activity or do not owe an amount during the reporting period. If the due date falls on a Saturday, Sunday, or state holiday, returns must be received by the next business day to be on time.

If you file a late return or late payment, we may assess a late penalty, interest, or both. See the Penalty and Interest topic in this section.

You should file your return and pay your taxes through our Online Services. Log in using your username and password and select the account for which you want to file a return, then select the File a Return link for the filing period you want to file and follow the prompts.

If you do not have a username and password, select the Sign Up Now link under the Create a Username heading from the Online Services homepage.

Visit our Video Resources and Tutorials webpage or our Online Filing Instructions for instructions on filing your returns through our online services.

Payments

You must submit payments by the due date. If you make your payment on a weekend or holiday, the effective date of the payment will be the date the payment is made or on the date you selected.

You can submit payments through our Online Services. Log in using your username and password and select the account for which you wish to make a payment. Select the More link under the I Want To section, and then select the Make a Payment link and follow the prompts.

If your average monthly tax payment is $20,000 or more, we require you to pay by Electronic Funds Transfer (EFT). We will notify you in writing if you are required to pay your taxes by EFT.

For an EFT payment to be on time, you must initiate it on or before the filing due date and funds must settle into our bank account on or before the banking day following the due date. If you are required to make your payment by EFT, you must make the payment before 3:00 p.m. (Pacific time) for it to be on time. You should confirm with your financial institution when payments need to be initiated to be received by us on time. For more information regarding EFT payments, see our EFT FAQs.

Penalty and Interest

The penalty for filing a late return or making a late tax payment is ten percent of the tax amount due for the period. Interest also applies to late tax payments.

You may log in to your account to submit an online request for an extension to file a return or to request relief from penalty (including interest due to a disaster).

Recordkeeping

You must keep records for at least four years from the time the tax is due unless we give you written authorization to destroy them sooner. For additional information regarding record retention, see our Sales and Use Tax Records (Publication 116) webpage, publication 76, Audits, and Regulations 1698, 3501, and 4901.

You may use CDTFA-230-FET, California Firearm and Ammunition Excise Tax Exemption Certificate for Peace Officers and Law Enforcement Agencies to help with your CFET exempt sales recordkeeping.

Updating Your Business Information

You can update your business information through our Online Services. Log in using your username and password and select the account you want to update. Select More under the I Want To section, and then select the option you are requesting to update under Account Maintenance.

Online Services

Whether you are new to selling firearms, firearm precursor parts, ammunition, or related products or growing your existing business, you'll find our Online Services helpful in maintaining your accounts. By logging in to your online account, you can:

  • File a tax return
  • Make a payment for any tax and fee program
  • Amend your previously filed tax return
  • View correspondence from us
  • Request relief from penalties or interest
  • File or manage an appeal
  • File a claim for refund
  • Add a location to your tax accounts
  • Update your business information