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Free Illinois Gift Bill of Sale

Gifting a vehicle in Illinois requires two separate forms: Form VSD 190 (Application for Vehicle Transaction) for the title and Form RUT-50 (Private Party Vehicle Use Tax Transaction) for the tax filing. Mark 'Gift' on the RUT-50 and check the family exemption box to waive Illinois's 6.25% use tax — saving $1,562 on a $25,000 vehicle. Note that Illinois's gift exemption covers only spouse, parent, child, and sibling — grandparents and grandchildren do not qualify.

Illinois Requirements: Transfer title within 20 days. 6.25% sales tax.

Seller Information

Buyer Information

Gift Details

Sale Information

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Illinois Gift Bill of Sale — What You Need to Know

Primary Form
Standard bill of sale
Agency
Illinois Secretary of State, Vehicle Services
Primary ID Field
VIN
Sales Tax
0%
Title Required
Yes
Inspection
Not required

Illinois Gift Sale — Step-by-Step Checklist

  1. Sign the back of the existing title over to the recipient with odometer disclosure
  2. Complete Form VSD 190 (Application for Vehicle Transaction) for the title transfer
  3. Complete Form RUT-50 (Private Party Vehicle Use Tax Transaction) — mark 'Gift' and check the immediate family exemption box
  4. Write $0 as the purchase price on the bill of sale and state the family relationship
  5. If in the Chicago metro area, confirm whether the vehicle needs an emissions test (required in Cook, DuPage, Kane, Lake, McHenry, Will, Madison, Monroe, Randolph, and St. Clair counties)
  6. Submit all documents at an Illinois SOS facility within 30 days of the gift date
  7. Pay title and registration fees (use tax waived for qualifying family gifts)

Common Pitfalls

  • Submitting VSD 190 without the RUT-50 — both forms are required; the SOS will not process the title transfer without the tax form
  • Including grandparents or grandchildren as exempt recipients — Illinois's family gift exemption only covers spouse, parent, child, and sibling; other relatives may owe the full 6.25% use tax
  • Forgetting emissions testing — vehicles registered in the Chicago metro counties require a passing emissions test before registration can be transferred
  • Missing the 30-day transfer deadline — Illinois charges late fees and the recipient risks driving with an unregistered vehicle
  • Not completing the odometer disclosure on the title — federal law requires odometer disclosure for vehicles under 10 years old and under 16,000 lbs

Illinois Gift Bill of Sale — FAQs

Do I need to file Form RUT-50 even if no tax is owed on a family gift?
Yes. Illinois requires Form RUT-50 for every private party vehicle transaction, including gifts. You must mark 'Gift' and check the family exemption box. Skipping the form will result in the SOS rejecting the title transfer application.
Does Illinois's gift exemption cover grandparents and grandchildren?
No. Illinois's immediate family exemption for the RUT-50 only applies to spouse, parent, child, and sibling. Grandparents and grandchildren are not included. Those transfers are subject to the full 6.25% use tax based on the vehicle's private party value.
Where do I submit the title transfer documents in Illinois?
Submit Form VSD 190, Form RUT-50, the signed title, and your bill of sale at any Illinois Secretary of State facility. You can find office locations on the Illinois SOS website at ilsos.gov. Allow 30 days from the gift date.
Does my vehicle need an emissions test before I can transfer the title?
It depends on where the recipient lives. Illinois requires emissions testing in Cook, DuPage, Kane, Lake, McHenry, Will, Madison, Monroe, Randolph, and St. Clair counties. If the recipient is registering the vehicle in one of these counties, a current emissions certificate is required.