I wonder just who they're buying it for (if the plan is to distribute it) or if they're storing it to create a shortage. Weaponized IRS has just taken on a new meaning. I don't know about the legalities of this, but it seems like a rather suspicious purchase for a tax collecting organization.
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To kill US citizens?
Hopefully not, but this apparently raised some concerns from Congressman Gaetz. If you read some of the commentary in this post, tptb may be trying to make ammo scarce for law-abiding citizens or manipulate the price. The level of corruption in government leaves loads of other, perhaps more nefarious, options on the table, too.