THE BUREAU OF ALCOHOL, TOBACCO AND FIREARMS The Bureau of Alcohol, Tobacco and Firearms(ATF) was founded in 1972, established as a separate agency inside the U.S. Treasury Department. Before this transition took place, all of the ATF's responsibilities were under the care of the IRS. The Bureau's responsibilities consist of administering and enforcing the federal laws relating tofirearms and explosives, and to alcohol and tobacco products. Since 1982, when the federal Anti-Arson Act was passed, the Bureau of Alcohol, Tobacco, and Firearms has also dealt with arson activities that were for profit. Right now the ATF operates on about $335 million per year,