However, the M76 is closer to the AK-47/RPK design and Zastava's unlicensed M70 AK-derivative than the Dragunov SVD, similar to the Romanian PSL.

The Yugoslav People's Army (JNA) adopted a 7.9 mm Cartridge, Ball M49 variant, designated as M49, as infantry ammunition at the end of the 1940s and later a 7.9 mm Cartridge, Sniper, with Universal ball M75, as sniper ammunition made to tighter tolerances, designated as M75.

Feeding is via a 10-round steel box magazine, which has a follower that holds the bolt open after the last shot.

The barrel has a tapered profile with a Dragunov-type combination slotted flash suppressor and foresight housing.

The furniture features a straight comb butt, which has a rubber pad similar to that found on the Zastava M70 series of weapons, and a well-shaped contoured pistol grip.

In newer production models the wooden furniture is replaced with synthetic polymer material which offers some storage space for accessories like a cleaning kit and reduces the M76 overall weight by approximately 0.5 kilograms (1.10 lb).

Though the M76 fires its bullets at a relatively modest 730 m/s (2,395 ft/s) muzzle velocity, the 8×57mm IS cartridge loaded with aerodynamically efficient 12.8 grams (197.53 gr) military sS ball bullets still offers a supersonic reach of ≈ 950 m (1,040 yd) under ICAO Standard Atmosphere conditions at sea level (air density ρ = 1.225 kg/m3).

To mount aiming optics, a side-rail is permanently attached to the left wall of the receiver which accepts an alloy sliding dovetail rail mount with a clamping lever to which can be attached various telescopic sights and night optics.

The optic sight is normally removed during field stripping to give easy access to the receiver cover and bolt carrier.

The BDC feature must be tuned at the factory for the particular ballistic trajectory of a particular combination of rifle and cartridge (the 7,9 M75 sniper ammunition) at a predefined air density.

The tritium light source has to be replaced every 8–12 years, since it gradually loses its brightness due to radioactive decay.

Under normal conditions a maximum effective range of 800 m (875 yd) against man-sized targets for an average sniper is achievable.

[9] Zastava Arms currently offers a civilian variant in .308 Winchester called the LKP M76, which they designate as a semi-automatic sporting rifle.