Shorter Barrel length and legal paperwork, that's it. An AOW is a shotgun with a short barrel that has never had a shoulder stock attached (Basically but a little more complex). A SBS is a Short Barreled Shotgun that doesn't necessarilly have a shoulder stock attached, but can. AOW's are basically cheaper because of the $5 transfer tax, but the maker still has to pay $200 to make the firearm into an AOW or SBS. You can buy a shotgun and then get an ATF Form 4 signed, wait for BATF approval, and then hack the barrel off yourself to save the money. An AOW is mostly a novelty but can be useful in VERY limited situations. An SBS can be very handy and useful in close quarters.
SOG has used 14" SBS NFA Remington 1100's in the back of their latest flyer for $700.
With that Canadian guy's ([edit] Sorry BrobeeBiter, had to look you up) AR-15 style stock adaptor and a full length mounting rail and some gizmos.... Oooooohhh.
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