As passed by the House, the FY25 reconciliation bill, H.R. 1, § 112029, would amend the National Firearms Act (NFA), by striking "any silencer" from the definition of "firearm." It also provides that "there shall be levied, collected, and paid on firearms" transferred or made a tax of certain amounts on various firearms, including "$0 for each firearm … in the case of a silencer." The effect would remove silencers from taxation and registration under the NFA, which is chapter 53 of the Internal Revenue Code. The bill is now pending in the Senate.
Opponents wrote a letter on June 5 to Mike Crapo, Chairman, Senate Committee on Finance, and Chuck Grassley, Chairman, Senate Committee on Judiciary, seeking to strike the amendment, which would "eliminate excise taxes on firearm silencers and remove their regulatory structure under the National Firearms Act (NFA)…." It asserts that the amendment violates the Congressional Budget Act – know as the "Byrd Rule" – under which "non-budgetary provisions cannot be included in reconciliation legislation." It also makes policy arguments not relevant to that issue.
The pertinent provision of the Byrd Rule provides that a reconciliation bill "shall be considered extraneous if such provision does not produce a change in outlays or revenues…." 2 U.S.C. § 644(b)(1)(A). Yet the only effect of the amendment would be to produce a change in revenues, by lowering revenues. The current NFA tax on transfer or making of a silencer of $200 would be stricken.
