Fire Sale Loophole Closing Act of 2023

This bill restricts how gun dealers (Federal firearms licensees) can handle firearms when closing their business. It prohibits transferring business firearms into a personal collection or to employees after receiving notice of license revocation or denial, and bans selling these firearms to non-licensed people after the license expires (with a 30-day window for licensed transfers). The law defines "business inventory firearms" as those recorded in a dealer's logs and adds penalties, including up to 5 years in prison for willful violations. It directly affects gun dealers terminating their business operations.