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The definition of a gun dealer was expanded to include anyone who sells guns "to predominantly earn a profit".

The "loophole" was significantly narrowed by the and a subsequent 2024 Department of Justice rule.

This change requires many former "private" sellers—especially those who sell repetitively at gun shows or online for profit—to obtain an FFL and conduct background checks.

Individuals "not engaged in the business" of selling firearms—such as someone selling an occasional gun from a personal collection—can legally sell to another resident of their state without a background check under federal law.

Background checks are only mandatory for transactions involving a Federal Firearms Licensee (FFL) .

Occasional sales for the purpose of liquidating or enhancing a personal collection remain exempt from federal background check requirements. Gun Show Laws by State and the 'Gun Show Loophole'

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