Universal background checks for firearms.

Requires a person wishing to sell, trade, or transfer a firearm to another person to transact the sale, trade, or transfer through a firearms dealer (dealer). Specifies certain exemptions. Requires a dealer to complete the sale, trade, or transfer of a firearm if the following conditions are met: (1) The dealer agrees to transact the sale, trade, or transfer of a firearm. (2) The dealer is able to successfully contact the National Instant Criminal Background Check System (NICS). (3) The dealer receives authorization from NICS to complete the sale, trade, or transfer of the firearm. (4) The recipient of the firearm being sold, traded, or transferred: (A) is not otherwise prohibited from possessing a firearm under federal or state law; and (B) is in compliance with all federal and state laws pertaining to the possession and transfer of certain firearms as defined under the National Firearms Act (NFA firearm), if applicable. Allows a dealer to refuse to transact the sale, trade, or transfer of a firearm for any reason. Requires a dealer to abort the sale, trade, or transfer of a firearm when: (1) the seller of a firearm; (2) the intended recipient of a firearm; or (3) both; are not eligible to possess a firearm or an NFA firearm, as applicable. Requires a dealer to abort the sale, trade, or transfer of a firearm if the firearm to be sold, traded, or transferred is: (1) reported lost; (2) reported stolen; or (3) used in the commission of a crime. Provides that a dealer is not required to return payment issued to the dealer for the dealer's role in transacting the sale, trade, or transfer of a firearm in certain instances. Provides a dealer with immunity from civil liability and damages in certain instances. Provides that a person who knowingly or intentionally makes a materially false statement to a dealer for the purpose of completing the sale, trade, or transfer of a firearm commits firearm transfer fraud, a Level 6 felony. Enhances the offense to a Level 5 felony if the person has a prior unrelated conviction for the offense. Provides that a dealer or person who transacts the sale, trade, or transfer of a firearm in violation of certain requirements commits unlawful transfer of a firearm, a Level 6 felony. Provides that the offense is a Level 5 felony if the dealer or person has a prior unrelated conviction for the offense. Specifies certain defenses. Defines certain terms. Makes conforming amendments.