Illinois Vehicle Use Tax Transaction Return Instructions

Vehicle Use Tax Transaction Return Instructions
RUT-25, Vehicle Use Tax Transaction Return Instructions
	

Illinois Department of Revenue

	RUT-25 Vehicle Use Tax Transaction Return Instructions
Who must file Form RUT-25?

Form RUT-25 General Information

You must complete Form RUT-25, Vehicle Use Tax Transaction Return, if you are titling or registering in Illinois
a motor vehicle (including all-terrain vehicle (ATV)), trailer, manufactured (mobile) home, watercraft, aircraft, or
snowmobile that you purchased from an unregistered out-of-state dealer or retailer. This includes motor vehicles
purchased from an unregistered out-of-state dealer for use in Illinois but that are registered under the International
Registration Plan (IRP) with a base jurisdiction other than Illinois. Do not use Form RUT-25 if you are leasing an
item. Instead use Form RUT-25-LSE, Use Tax Return for Lease Transactions, if the item was leased through an
unregistered out-of-state dealer or retailer. Also, do not use Form RUT-25 if you purchased a motor vehicle, or an
aircraft or watercraft, from an individual or private party. Instead, use Form RUT-50, Private Party Vehicle Use Tax
Transaction, for a private-party vehicle sale and Form RUT-75, Aircraft/Watercraft Use Tax Transaction Return, for
a private-party aircraft or watercraft sale. Out-of-state leasing companies should not use this form to report sales
to an Illinois resident at the end of a lease. Instead, you must register with Illinois Department of Revenue (IDOR)
and file Form ST-556, Sales Tax Transaction Return. For more information, see ST-556 (2), Instructions for Leasing
Companies Selling at Retail.
Note: You must file Form RUT-25 and submit proof of tax payment or proof of exemption before your title or
registration will be issued. Forms are available at IDOR field offices, SOS Driver Services offices, or by calling the
IDOR’s 24-hour Forms Order Hotline at 1 800 356-6302.

When is Form RUT-25 due?

You must file Form RUT-25 and pay the tax due within 30 days after the date the item is brought into Illinois.

What if I need help?

If you need help, call our Taxpayer Assistance Division
weekdays between 8:00 a.m. and 5:00 p.m. at 1 800 732‑8866, 217 782-3336, or
1 800 544-5304 (TTY).
You may also visit our website at tax.illinois.gov or scan the QR code provided.
Language assistance services are available upon request and are free of charge.

Specific Instructions
Step 1:	Enter the purchaser’s information as it appears on the title or registration application
Lines 1 through 3: Enter the purchaser’s name and address exactly as it appears on the Illinois title or registration
application. This address must be the actual physical address of the party who will be using the item in Illinois. Do
not use a post office box number. If the motor vehicle is registered under the IRP with a base jurisdiction other than
Illinois, but the vehicle is used in Illinois and therefore you need to report use tax on it, enter the actual physical
address where the vehicle will be garaged in Illinois.
Line 4: Check the appropriate box to indicate whether the address on Line 3 is in an unincorporated or rural area of
the county.
Line 5: Enter the name of the municipality (i.e., city, village, or town) where the item will be registered if the actual
municipality is different from what is entered on Line 3. If the motor vehicle is registered under the IRP with a base
jurisdiction other than Illinois, but the vehicle is used in Illinois and therefore you need to report use tax on it, enter
“state of Illinois.”
Line 6: You must provide the name of the county where the item will be registered. If the motor vehicle is registered
under the IRP with a base jurisdiction other than Illinois, enter the county corresponding to the address in Step 1,
Line 3.
Line 7: If you entered St. Clair or Madison County on Line 6, you must provide the name of the township where the
item will be registered. You do not need to provide the township if the item will be registered in any county other
than St. Clair or Madison.
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Specific Instructions Continued

Line 8: Enter the purchaser’s daytime telephone number.
Line 9: Enter the purchaser’s Social Security Number or Federal Employer Identification Number (FEIN).

Step 2:	Enter the seller’s information

Lines 1 through 4: Enter the seller’s name, address, Federal Employer Identification Number (FEIN), and (if
applicable) mailing address.

Step 3:	Describe the item

Line 4: Enter the appropriate identification number for the item purchased. Enter the vehicle identification number
(VIN) for motor vehicles, the hull identification number (HIN) for watercraft, or the aircraft identification number (N)
for aircraft.
Lines 5 and 6: Enter the original purchase date and the date the item was brought into Illinois.
Step 4:	 Mark the box that best describes your transaction if exempt from tax - If your transaction is taxable,
skip to Step 5.
Line a: Check Box a for an exempt sale to a charitable, religious, educational, or governmental organization
with an active IDOR exemption number. Enter the exempt organization’s active Illinois Sales Tax exemption
“E” number on the line provided. The purchaser must be the organization itself, rather than a member or officer
of the organization. The item must be titled and/or registered in the organization’s name and paid for with the
organization’s funds. The organization’s Sales Tax exemption number must have been in effect on the day the item
was purchased.
Line b: Check Box b if the item qualifies as exempt farm machinery or equipment used primarily in production
agriculture (excluding motor vehicles required to be registered under the Illinois Vehicle Code), or if the item is a
ready-mix concrete truck used in manufacturing tangible personal property for sale.
Line c: Check Box c to claim the rolling stock exemption. If you purchased the item for use as rolling stock to
haul persons or commodities for hire in interstate commerce, enter the certificate of authority number in the space
provided. Keep a properly completed Form RUT-7, Rolling Stock Certification, in your records for documentation.
Line d: Check Box d to claim the sale for rental purposes exemption. If the purchaser is a business registered to
collect Automobile Renting Occupation Tax and if the item will be used for rental purposes in ­rental agreements of one
year or less, enter the purchaser’s Illinois Automobile Renting Occupation Tax account ID number on the line provided.
Line e: Check Box e if the purchaser is a registered Illinois retailer and if the item is for the purchaser’s interim use
only. Enter the purchaser’s Illinois account ID number on the line provided.
Note: This exemption is only allowed if the item is of the same general type of tangible personal property sold
by that retailer and is carried as inventory on the books of the retailer or is otherwise available for sale during the
interim use period. See 86 Ill. Adm. Code Section 150.306.
Line f: Check Box f to claim the out-of-state resident exemption. Illinois law allows an exemption from use tax for
an individual who was an out-of-state resident and the item was used outside Illinois at least three months. You
must surrender the out-of-state title, registration, or other proof of the item’s use when you apply for an Illinois title.
You cannot claim this exemption if you are a business relocating into Illinois, an individual who used the item
outside Illinois for less than three months, or a military member whose home of record is Illinois.
Line g: Check Box g if you were the original owner or co-owner or if you were the loan co-signer and you are
redeeming an item that was repossessed due to loan default.

Step 5:	Figure tax

Round amounts — Drop amounts of less than 50 cents, and increase amounts of 50 cents or more to the next
higher dollar.
Line 1: Purchase price includes accessories, federal excise taxes, freight and labor, documentary fees, and any
rebates or incentives for which a dealer is reimbursed from any source. Attach a copy of the bill of sale as proof
of the purchase price and any sales and use tax previously paid, which must be clearly and separately stated.
If you cannot obtain a bill of sale, you may submit a copy of a dealer’s invoice, a letter from the selling dealer, or a
fair market value appraisal from a licensed Illinois dealer.
Note: If you purchased a new truck that weighs 33,000 pounds or more, or a new trailer or semitrailer chassis
weighing 26,000 pounds or more, you may exclude the federal excise tax from the purchase price.
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Line 2: Any amount claimed as trade-in credit must be shown on the dealer’s bill of sale or proof of purchase. Do
not deduct rebates.
Note: For purchases made on or after January 1, 2020, up to and including December 31, 2021, for purposes
of calculating your Use Tax due, you cannot claim trade-in credit exceeding $10,000 for any first division motor
vehicle that was traded in during the purchase being reported on Form RUT-25. For purchases made on or after
January 1, 2022, the $10,000 trade-in credit limit no longer applies.
Line 4: Depreciation is allowed for items that are purchased and used outside of Illinois by military personnel whose
home of record is Illinois and for items that are used by out­­-of-state businesses relocating into Illinois. For motor
vehicles, calculate two percent (.02) per whole month from the date of purchase (e.g., 8/28/23 to 9/28/23 = whole
month). Multiply the number of whole months by .02, and then multiply Line 3 by the result. Enter the amount of
depreciation on Line 4. For items other than motor vehicles (e.g., trailers, manufactured (mobile) homes, watercraft,
aircraft, snowmobiles), use the straight line method of depreciation.
Note: An out-of-state resident who used the items outside Illinois for three months or more should not calculate
depreciation. Instead, you can claim a full exemption by checking the box in Step 4, Line f.
Line 6: Multiply Line 5 by the tax rate. The tax rate is determined by the address provided in Step 1, Line 3. Use
6.25 percent (.0625) unless otherwise instructed.
•	 For Cook County, use 7.25 percent (.0725).
•	 For DuPage, Kane, Lake, McHenry, and Will counties, use 7.0 percent (.07).
•	 For Madison and St. Clair counties, use 6.5 percent (.065), except outside the Metro East Transit District, for
which use 6.25 percent (.0625).
•	 For an IRP-registered motor vehicle with a base jurisdiction other than Illinois that is used in Illinois, use 6.25
percent (.0625).
Line 7: You may claim the amount of tax previously paid on this item either directly to another state or through a
retailer. Enter the name of the state or retailer on the line provided. We will allow credit only if the tax previously paid
was properly due and is separately stated on the proof of tax paid. You must attach proof of the tax you previously
paid.
You must file Form RUT-25 and pay the tax due within 30 days after the date the item is brought into Illinois.
Note: You owe a late filing penalty if you do not file a processable return by the due date, a late payment penalty
if you do not pay the amount you owe by the original due date of the return, a bad check penalty if your remittance
is not honored by your financial institution, and a cost of collection fee if you do not pay the amount you owe
within 30 days of the date printed on a bill that we send you. For more information, see Publication 103, Penalties
and Interest for Illinois Taxes, available on our website at tax.illinois.gov.

Step 6:	Sign here

The purchaser (and co-owner, if applicable) must sign Form RUT-25. Attach a separate payment for tax made
payable to the “Illinois Department of Revenue.” Send Form RUT-25 and any attachments with your title or
registration application and fees to the appropriate agency:
Motor vehicle titles:			
OFFICE OF SECRETARY OF STATE		
VEHICLE SERVICE DEPARTMENT		
HOWLETT BUILDING			
SPRINGFIELD, IL 62756			

Register aircraft:
DEPARTMENT OF TRANSPORTATION
DIVISION OF AERONAUTICS
1 LANGHORNE BOND DRIVE
SPRINGFIELD IL 62707-8415

Watercraft and snowmobile titles:
DEPARTMENT OF NATURAL RESOURCES
PO BOX 19226
SPRINGFIELD, IL 62794-9226

RUT-25 Instructions (R-01/24)

Printed by authority of the state of Illinois
web only, one copy

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