Basically, the arm brace functions as a buttstock instead. But because people are “misusing the accessory” the ATF doesn’t know how to handle it. This is essentially them saying that in the specific case of the AR “pistol”, they’re largely giving up on trying to figure out its status as an SBR and forcing tax stamps for it in exchange for going after grips and instead looking for them in AOW status. I wonder how long before more pistols have some “arm braces” to try and cash in on the successful navigation of the issue pioneered by the AR pistols.
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-QM
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