Industry Generates $122 Million
for Conservation in 2nd Quarter
52 PERCENT RISE IN EXCISE TAXES PAID BY FIREARM, AMMO MANUFACTURERS . . . Firearms and ammunition manufacturers reported federal excise tax obligations to be $122 million in the second calendar quarter of 2009, up 52 percent compared to the same period a year ago, according to data from the Department of the Treasury. The increase follows a 43 percent increase in excise tax obligations reported during the previous quarter. Manufacturers pay the federal excise tax -- a major source of wildlife conservation funding -- on all firearms and ammunition manufactured (11 percent on long guns and ammunition and 10 percent on handguns). Between April 1 and June 30, $33.5 million was due in taxes for pistols and revolvers, $42.3 million for long guns and $46.1 million for ammunition. Compared to the same quarter in 2008, excise tax obligations were up 44.4 percent for handguns, 51.3 percent for long guns and 57.5 percent for ammunition. Using the latest collections as an indication of sales, a projection of $1.14 billion was generated in the second quarter. Though excise taxes are one of the best indicators of industry performance, they only reflect what excise taxes the manufacturers have filed and do not reflect retail mark-up and final retail sales.