Section 1003.10  Definitions

 

"Department" means the Department of Accounting Revenue of the Office of the Secretary of State.

 

"Director" means the Director or Acting Director of the Department.

 

"IVC" means the Illinois Vehicle Code [625 ILCS 5].

 

"Person" means the person indebted to the Secretary of State for any fee or tax imposed by the IVC.

 

"Registration" has the meaning given in Section 1-171 of the IVC.

 

"Secretary of State" or "Secretary" means the Illinois Secretary of State.

 

(Source:  Amended at 42 Ill. Reg. 203, effective December 19, 2017)

 

Section 1003.20  Collection and Refund

 

a)         The refund of registrant fees paid to the Secretary of State shall occur if the registration is cancelled, or a duplicate registration occurred, or excess fees were paid.

 

b)         If the cancelled registration meets any of the following criteria, a refund will be paid by the Secretary of State if the registration plate or sticker was not used on the vehicle and is returned to the Secretary. If the cancelled registration does not meet these criteria, then a refund will be denied.

 

1)         If the registrant is moving out of Illinois, a refund request or letter stating that fact is required prior to refund actions being initiated.

 

2)         If the registrant's vehicle was stolen and not recovered, a statement from the applicant is required stating the date the vehicle was stolen.

 

3)         If the registrant sells the vehicle and the unused registration is returned after the display date, a statement concerning the last operation date of the vehicle is required.

 

4)         If the registered vehicle is damaged or inoperable, a statement concerning the last operation date of the vehicle is required.  This applies to requests on refunds applied for after the display date.

 

5)         If the registered vehicle will be stored and not operated for the entire registration year, a statement is required, along with the return of the sticker.

 

6)         If the registrant has died, then the executor or administrator of the estate must sign a statement and attach a copy of the death certificate, surrender the plates or the registration sticker, and comply with Section 3-824(c) of the Illinois Vehicle Code [625 ILCS 5].

 

c)         If a registration is a duplicate, then to obtain a refund the duplicate sticker must be returned with the registration and a photocopy of the retained registration.  A written request for a refund must also be submitted.

 

d)         If an excess fee is paid and a refund sought, the registrant must request the refund in writing within 6 months after the date of payment.

 

e)         Applicable to all requests for refund are the requirements that:

 

1)         The vehicle the refund is requested upon must have been registered in a prior registration year by the same owner.

 

2)         For plates returned after the display date, the applicant must submit a statement indicating the last operation date of the vehicle.

 

3)         Proof of payment must be submitted (cash receipts, cash tickets, a photocopy of the cancelled checks or electronic payment receipts, if the Secretary of State records do not show payment was made).

 

4)         After the registrant has applied for the registration plates or sticker, no refund can be requested or paid until after the registrant receives the plates or sticker.

 

5)         Refunds will not be granted for replacement plates unless the applicant specifically requests the same registration plate number.  If the same number is not requested, the refund will be withheld to cover the costs of the transaction.

 

f)         Refunds will not be granted for any title-related transaction unless a title application has not been processed by the Secretary of State or pursuant to Section 1003.25 of this Part.

 

g)         All requests for refunds must be submitted in writing to the Department of Accounting Revenue, Refund Division, Room 222, Howlett Building, Springfield, Illinois 62756.

 

(Source:  Amended at 47 Ill. Reg. 183, effective December 21, 2022)

 

Section 1003.25  Rebates for Vehicles Manufactured in Illinois

 

Pursuant to Section 3-806.10 of the IVC, buyers or owners of first division passenger vehicles (excluding autocycles, motor-driven cycles, and pedalcycles) or second division vehicles weighing 8,000 pounds or less may apply to the Secretary of State for a rebate in the amount of $25.00 for a vehicle manufactured in Illinois. For purposes of this Section, "manufactured" shall mean the final step in the process of the assembly of a vehicle.

 

a)         In order to be eligible for the rebate, the buyer or owner must:

 

1)         Complete a request for the rebate on a form prescribed by the Secretary and available on the Secretary's website (https://www.ilsos.gov /publications/accountrevpub.html);

 

2)         Submit an application for title on the Illinois manufactured vehicle on or after January 1, 2023 and no more than one year after the month in which the vehicle was manufactured;

 

3)         Provide the following information for each vehicle for which a rebate is sought:

 

A)        Proof of payment in full for the title fee of the vehicle (e.g., cash receipts, cash tickets, a photocopy of the cancelled check, or electronic payment, if Secretary of State records do not show payment was made);

 

B)        The Vehicle Identification Number (VIN) associated with each vehicle.

 

b)         Each qualifying vehicle shall be eligible for one rebate of $25 for the lifetime of the qualifying vehicle. [625 ILCS 5/3-806.10]

 

c)         All requests for rebates authorized by Section 3-806.10 of the IVC must be received within 12 months after the date for which title was applied and submitted in writing to the Department of Accounting Revenue, Refund Division, 222 Howlett Building, Springfield, Illinois 62756.

 

d)         The Secretary of State will deny application for the rebate if the requirements set forth in this Section are not met.

 

(Source:  Added at 47 Ill. Reg. 183, effective December 21, 2022)

 

Section 1003.30  Collection of All Motor Vehicle Fees

 

a)         If a person has not paid the total fee due and owing, due to miscalculation or any other reason, the Department of Accounting Revenue shall send two notices, each 30 calendar days apart, to the address shown on the records of the Secretary of State, asking for the additional fees to be paid.  The notices will be mailed by regular mail.  If no payment is made within 30 days following the date of the first letter, then the registration or driver's license record of the person shall be tagged on the computer record with a notation that money is owed, and this action will prevent the renewal of the driver's license or registration without payment of the additional fee.  If no payment is made within 30 calendar days after of the date of the second letter, the driver's license of the person shall be cancelled pursuant to Section 6-201(3) of the IVC, unless:

 

1)         the driver has demonstrated that the amount owed is not correct and is in dispute;

 

2)         the driver has demonstrated good faith attempts to make restitution of the amount owed; or

 

3)         the amount is $5.00 or less.

 

b)         Dishonored Electronic Payment or Check Returned for Any Reason.

           

1)         If the check is returned for any reason, the Department of Accounting Revenue shall notify the payor by mail that:

 

A)        payment is due within 10 calendar days after the date of the notice;

 

B)        if the Secretary does not receive payment, he or she cancel the payor's Illinois driver's license and/or shall revoke and retrieve the registration plate, as the case may be;

 

C)        the Attorney General may file a lawsuit;

 

D)        the Comptroller shall deduct from any State funds due to the payor the amount of money due and owing to the Secretary of State pursuant to Section 10.05 of the State Comptroller Act [15 ILCS 405];

 

E)        the provisions of Section 3-821(c) of the IVC shall apply; and

 

F)         the Secretary will apply the provisions of the Illinois State Collection Act of 1986 [30 ILCS 210].

 

2)         If the fee is not paid within 15 calendar days following the date of the notice required by subsection (b)(2), the driver's license of the payor and/or registrant will be cancelled (see Section 6-201(a)(3) of the IVC) and the individual or individuals will be notified by mail of the cancellation.  After this procedure is completed, a collection order is issued and the license plates involved are tagged on the registration computer file so that no renewal can be accomplished without payment of the fee.

 

3)         A collector shall call upon the payor to attempt to collect for the returned check or dishonored electronic payment.  The collector will take any registration plates from a vehicle for which the fee has not been paid.  The collector will not accept partial payment, electronic payment nor personal or business check.  Payment must be in cash, money order or certified check.

 

4)         Should any payor contacted pursuant to this Section acknowledge the debt and desire to pay on an installment basis, an installment agreement may be entered into with the Department of Accounting Revenue, if approved by the Director of that Department, after his or her examination of the personal financial data submitted by the payor demonstrates the payor's financial ability to pay on an installment basis and his or her inability to pay the entire amount owed immediately.  The installment agreement shall contain the following terms and conditions:

 

A)        The amount owed must exceed $500.

 

B)        The agreement shall not exceed 3 months in duration, with three equal payments being made.

 

C)        The payor acknowledges the debt and all penalties and interest.

 

D)        The payor waives any statute of limitations defense.

 

E)        The payor confesses judgment if the terms of the agreement are not met.

 

F)         The payor agrees that the agreement will be cancelled if the payment schedule is not met.

 

G)        The driver's license will be cancelled and/or the registration plates revoked and surrendered if the agreement is not fulfilled by the payor.

 

c)         If an electronic payment is dishonored by the payor's credit card or banking institution, or the payor charges back the electronic payment, the Department of Accounting Revenue shall notify the payor by mail that:

 

1)         The Department of Accounting Revenue will send two notices, each 30 days apart, to the address shown on the records of the Secretary of State, asking for the additional fees to be paid.  The notices will be mailed by regular mail.

 

2)         If no payment is made within 30 days following the date of the first letter, the registration or driver's license record of the person will be tagged on the Secretary of State database with a notation that money is owed, and this action will prevent the renewal of the driver's license or registration without payment of the additional fees.

 

3)         If no payment is made withing 30 calendar days after the second letter, the driver's license of the person shall be cancelled pursuant to Section 6-201(3) of the IVC, unless the driver has demonstrated that the amount owed is not correct and is in dispute, or the amount is $5.00 or less.

 

d)         All accounts remaining uncollected after the procedures in this Section have been applied shall be referred to the Attorney General of Illinois for collection and the Comptroller of Illinois shall be notified to withhold any payments due by the State to the payor pursuant to the State Comptroller Act.

 

e)         All persons who have had payment returned for any reason must make all future fee payments by cash, certified check or money order (see Section 3-801 of the IVC).

 

f)         The procedures of this Section shall be applied to corporations or other business entities that fail to make payment or payments for any reason.

 

(Source:  Amended at 42 Ill. Reg. 203, effective December 19, 2017)

 

Section 1003.40  Audits for Truck License Fees

 

a)         All licensees selected by the Department of Accounting Revenue for auditing shall be notified by letter sent by regular mail of the purpose of the audit, the date and location of the audit, the years of licensing to be examined, the records required to be provided for the auditor, and the consequences of non-appearance for the audit (to include assessments at 100% of miles run), suspension of all registration plates and stickers, and collection action filed by the Attorney General of Illinois in the Circuit Court of venue.

 

b)         The provisions of Section 2-124 of the Act shall apply to all audits.

 

c)         Illinois based truck licensees shall produce their records and be audited at the Chicago or Springfield, Illinois, offices of the Department of Accounting Revenue.  Illinois based truck licensees who fail to appear for a scheduled audit meeting, and who request another appointment for auditing shall report to the Chicago or Springfield offices, whichever is closest to the licensee's office.  Requests for reaudits for which 100% assessments have been applied must be submitted to the Department of Accounting Revenue before the 30 day notice provided for in Section 2-124(h) and (j) of the Act has expired.

 

d)         No costs shall be assessed against a licensee for audits conducted at Secretary of State offices, as provided in Section 2-124(d) of the Act.

 

e)         For Illinois based International Registration Plan (I.R.P.) audits conducted within the State of Illinois except as subsection (d) above, an audit fee of $100 per day or $50 per half day per auditor shall be assessed if an assessment is found to be due and owing the State of Illinois or any I.R.P. jurisdiction.  In the case of an audit of an Illinois based International Registration Plan licensee that takes place outside the State of Illinois, transportation costs incurred, such as: airplane, automobile, train, car rental, taxi, etc., shall be assessed in addition to the audit fee of $100 per day or $50 per half day per auditor, and will be assessed regardless of the amount of the assessment or if any assessment is made.  The cost of personal or state owned automobile usage shall be equivalent to the reimbursement mileage rate as provided by the State of Illinois travel rules (80 Ill. Adm. Code 3000).  If more than one licensee is audited on a single trip, the transportation costs shall be apportioned between the companies based on the amount of time spent at each company.

 

f)         For audits of non-Illinois based licensees that take place within the State of Illinois except as subsection (d) above, an audit fee of $100 per day or $50 per half day per auditor shall be assessed if any assessment is found to be due and owing the State of Illinois.  In the case of an audit of a non-Illinois based licensee that takes place outside the State of Illinois, transportation costs incurred such as:  airplane, automobile, train, car rental, taxi, etc., shall be assessed in addition to the audit fee of $100 per day or $50 per half day per auditor if an assessment is found to be due and owing the State of Illinois.  The cost of personal or state owned automobile usage shall be equivalent to the reimbursement mileage rate as provided by the State of Illinois travel rules (80 Ill. Adm. Code 3000).  If more than the licensee is audited on a single trip, the transportation costs shall be apportioned between the companies based on the amount of time spent at each company.

 

g)         No charge shall be assessed for an auditor trainee being trained on the job by an auditor.  If an auditor trainee performs an audit, the audit fee of $100 per day or $50 per half day per auditor shall be assessed.

 

h)         A notice of any deficit and the amount of money owed to the Secretary of State shall be sent by regular mail to the truck licensee.  Payment is due within 30 calendar days after the date of the written notice or the registration plates shall be suspended, unless a hearing is requested, in accordance with Section 2-124(i) of the Act.

 

i)          The rules at 92 Ill. Adm. Code 1001.Subpart A shall apply to any hearing requested by a truck licensee pursuant to Section 2-124(j) of the Act.

 

(Source:  Amended at 29 Ill. Reg. 1966, effective January 20, 2005)

 

Section 1003.50  Use of State Comptroller's Offset Authority

 

a)         The following procedures shall be used prior to the Department of Accounting Revenue involving the Comptroller's offset authority referred to in Section 1003.30 (b)(3) and (6).

 

b)         Any person who is alleged to owe money to the Secretary of State for the payment of fees owed pursuant to the Act and against whom the provisions of Section 10.05 of the State Comptroller Act and 74 Ill. Adm. Code 285 will be applied to recover monies due and owing to the State, shall have notice and opportunity  for a proceeding before the Director of the Department of Accounting Revenue or his designee to contest the proposed offset of funds.

 

1)         The notice to the person shall be sent by the Department of Accounting Revenue to the person's address shown on the drivers license list maintained by the Department of Drivers Services.

 

A)        The notice shall contain the amount of the debt owed to the Secretary of State, the statutory Section of the Act pursuant to which the fee is due and owing, the procedures to request a hearing to contest the debt, the time within which the hearing must be requested, and a telephone number for inquiries.

 

B)        The Department of Accounting Revenue shall notify the person by mail that the offset procedure will be applied within 30 days, unless the person can prove to the satisfaction of the Director of the Department of Accounting Revenue that he has a valid defense, as provided in this Section.  Proof to the satisfaction means that the person shows by a preponderance of the evidence that the debt is not owed, or that any other valid defense exists.

 

2)         The only possible defenses which shall be asserted by the alleged debtor include:

 

A)        Mistaken identity of the debtor.

 

B)        Disharge of the debt in bankruptcy.

 

C)        Complete payment was made to the Secretary of State.

 

D)        The existence of an installment agreement to pay the Secretary of State.

 

E)        A court judgment of non-liability to the Secretary of State.

 

F)         Incorrect mathematical calculation of amount owed to the Secretary of State.

 

3)         No other defenses shall be valid or considered.  The alleged debtor shall submit his/her defenses in writing to the Director of Accounting Revenue.  The Director shall respond with a final decision within 25 work days after receipt of the defenses.

 

4)         The giving of the notice as herein required shall be effective as stated in Section 2-114 of the Act.

 

c)         This section shall not apply to the hearings conducted pursuant to Section 2-124(j) of the Act.

 

Section 1003.60  Bankruptcy Discharge of Fees

 

The truck license fees imposed pursuant to Article VIII of Chapter 3 of the Act are taxes and within the purview of section 507(a)(8)(E) and 523(a)(1)(A) of the Bankruptcy Code (11 USC 507(a)(8)(E) and 523(a)(1)(A)) and are not dischargeable in bankruptcy, and the provisions of Section 1003.30 shall apply to the collection of the alleged debtor's debt to the Secretary.

 

(Source:  Amended at 34 Ill. Reg. 10199, effective June 29, 2010)

 

Section 1003.70  Invalidity

 

If any part of these rules shall be held by a court of competent jurisdiction to be invalid, such holding shall not affect the remaining parts thereof.