When Congress enacted the National Firearms Act (NFA) in 1934, it justified the law as a tax measure designed to generate revenue. However, a federal judge in Texas ruled on Wednesday, August 6th, 2026, that several provisions of the NFA no longer serve that function after Congress eliminated federal taxes on sound suppressors, short-barreled rifles, and short-barreled shotguns in 2025.

U.S. District Judge James Hendrix concluded that removing these taxes also eliminated the constitutional basis for the regulatory rules governing those firearms. He emphasized that the NFA was enacted solely under Congress's taxing power and that there is no indication Congress invoked any other constitutional authority, such as the power to regulate interstate commerce, to justify these provisions.

Judge Hendrix noted that while the federal government lacks inherent police powers to address local crime, the power of taxation was historically used to restrict firearms and accessories Congress viewed as especially dangerous. The NFA originally targeted weapons associated with gangsters, including machine guns, destructive devices like bombs and grenades, silencers, and rifles and shotguns with barrels shorter than 16 and 18 inches respectively.

The ruling does not rest on the Second Amendment but upholds the broader constitutional principle that federal powers are limited to those enumerated in the Constitution, and legislation must be authorized by one of those powers. Because the current NFA does not generate revenue from untaxed firearms, its regulatory provisions cannot be upheld under the taxing power and must be enjoined as unconstitutional.

While the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) bars enforcement of the challenged regulations against the plaintiffs, the decision marks a significant legal development regarding the scope of federal firearms regulation.

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