Bureau of Alcohol, Tobacco, Firearms, and Explosives Reform Act of 2011

Bureau of Alcohol, Tobacco, Firearms, and Explosives Reform Act of 2011 - Amends the federal criminal code to revise the civil penalties for violations of firearms law and the procedures for assessing such penalties. Requires fines to be based upon the nature and severity of the violation, the size of the firearms business involved, and the prior record of the firearm's licensee. Prohibits consideration of the amount of fines or license revocations imposed by agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) in the retention, promotion, or transfer of such agents.

Revises the definition of "willfully" for purposes of firearms violations and standards for criminal violations of firearms recordkeeping requirements. Declares that repetition of a recordkeeping violation, regardless of frequency, shall not be considered evidence that the licensee committed the violation knowingly and in intentional disregard of a legal duty.

Requires the Attorney General to: (1) make preliminary determinations on firearms license applications and notify applicants in writing of a proposed denial; and (2) establish guidelines for ATF inspections, examinations, or investigations of possible firearms violations.

Permits an owner of a firearms business whose license is expired, surrendered, or revoked 60 days to liquidate inventory.

Allows purchasers of existing firearms businesses the right to cure firearms violations attributable to such businesses.

Allows the transfer, possession, and importation of machineguns for industry testing, research and training, national security services, and motion picture or television production.

Eliminates the requirement of written permission for the use of a handgun for lawful purposes by a minor (under age 18) where a parent or legal guardian is present at all times during such use.

Revises firearms licensee recordkeeping requirements, including by prohibiting: (1) the Attorney General from electronically recording firearms transaction information of a discontinued firearms or ammunition business by name or personal identification code; and (2) any rule or regulation or administration action from establishing any comprehensive or partial system of registration of firearms, firearms owners, or firearms transactions or dispositions.

Directs the Attorney General to authorize the importation of all frames or receivers of rifles, or barrels for firearms other than handguns, if the importation is for repair or replacement purposes.