Illinois Dealer Plates Guide – Illinois dealer plates (also called special plates or dealer license plates) allow licensed vehicle dealers to legally operate unregistered vehicles held for sale or resale on public roads. These plates are regulated by the Illinois Secretary of State (ILSOS) Vehicle Services Department and come with strict rules to prevent misuse. This comprehensive guide covers everything U.S.-based dealers, brokers, wholesalers, and automotive businesses need to know about obtaining, using, and renewing Illinois dealer plates.
Whether you’re starting a new dealership in Chicago, Springfield, or anywhere in Illinois, understanding these regulations helps you stay compliant and avoid costly violations.
What Are Illinois Dealer Plates?
Illinois dealer plates are special registration plates issued exclusively to licensed vehicle dealers. They are displayed on vehicles that the dealer owns and holds for sale or resale.
Unlike standard passenger or truck plates, dealer plates authorize temporary operation for business purposes such as demonstration, testing, delivery, or pickup from the manufacturer. They are not permanent registrations and must follow exact usage limitations outlined in the Illinois Vehicle Code and Administrative Code.
Dealers purchase these plates after obtaining their Certificate of Authority (dealer license). Plates are issued in pairs (front and rear required in Illinois) and are valid for the license year ending December 31.
Who Needs Illinois Dealer Plates?
You need Illinois dealer plates if you are a licensed vehicle dealer engaged in selling or dealing in 5 or more vehicles per year (new, used, on consignment, or as a broker). This includes:
- New and used car dealers
- Wholesalers and brokers
- Manufacturers, transporters, and certain rebuilders/repairers (with specific plate types)
Individuals or businesses advertising as dealers or acting as intermediaries must comply. First-time used car dealer applicants must complete an 8-hour training course provided by the ILSOS before licensing.
Note: Dealer plates are not for personal vehicles, rental cars, or general transportation.
Requirements to Obtain an Illinois Dealer License and Plates
To qualify for dealer plates, you must first secure a vehicle dealer license (Certificate of Authority) from the Illinois Secretary of State. Key requirements include:
- Established place of business: Must meet Illinois Administrative Code Section 1020.10 (lot size, office, signage, zoning, etc.). The business address and phone cannot be a residence. An on-site inspection is required.
- Bond: $50,000 Illinois vehicle dealer bond (or certificate of deposit) in the business name and Secretary of State’s name. Required for the first 60 months unless no delinquencies in fees/taxes.
- Insurance: Minimum liability coverage of $100,000 bodily injury per person, $300,000 per accident, and $50,000 property damage. Certificate must name the business and location and not expire before December 31.
- Training: 8-hour ILSOS dealer training for first-time used vehicle dealers (contact [email protected] or 217-785-2050).
- Background check: Receipt from an Illinois State Police-approved vendor.
- Additional documents: Franchise agreement (for new vehicles), hazardous waste generator number (if repair shop), lease copy (if applicable), zoning approval, and notarized application.
- Fee: $1,000 for the dealer license (new or renewal).
All documents must be submitted together. Processing takes 2–4 weeks, followed by inspection. Licenses expire December 31 annually.
How to Apply for Illinois Dealer Plates?
- Obtain your dealer license first.
- Once licensed, purchase plates using the Application for Additional Sets of Dealer Plates, In-Transit Plates, Identification Card(s) (Form RT DS 43).
- Submit the form with payment to the ILSOS Dealer Licensing Section in Springfield.
- New dealers are initially limited to one master set, seven duplicate sets, and eight additional duplicate sets.
Plates are manufactured and shipped (allow about 4 weeks). You will also receive an Electronic Temporary Registration Permit (TRP) system login for issuing temp tags to customers.
How Many Dealer Plates Can You Get? (2026 Formula)
The number of plates is based on the number of vehicles you sold in the previous calendar year. Here is the official formula:
| Vehicles Sold (Previous Year) | Master Sets (at Sec. 3-810 fee) | Additional Duplicate Sets (at Sec. 3-806 fee) |
|---|---|---|
| 0 | 0 | 0 |
| 1–10 | Master Only | 1 |
| 11–25 | Master + 11 | 2 |
| 26–100 | Master + 17 | 8 |
| 101–250 | Master + 11 | 12 |
| 251–500 | Master + 19 | 20 |
| 501–750 | Master + 29 | 30 |
| 751–1,000 | Master + 39 | 40 |
| 1,001–1,500 | Master + 49 | 50 |
| 1,501–2,000 | Master + 59 | 60 |
| 2,001–2,500 | Master + 69 | 70 |
| 2,501+ | Master + 89 (plus 10 sets per additional 500 vehicles) | 90 |
Fees (current as of 2026):
- Master set: $45
- Duplicate dealer plates: $13 per set
- Additional sets of duplicates: $151 per set
Legal Uses of Illinois Dealer Plates
Special plates may be displayed on any vehicle held for sale or resale for:
- Pickup at the point of manufacture or assembly
- Demonstrating or testing
- Delivery to the buyer
- Towing another like-plated vehicle
- One parts truck (up to 8,000 lbs gross weight) used by the dealer
- One-trip demonstration by a prospective buyer (up to 3 days, even with cargo) using a specific dealer-issued form (retained by dealer + copy in vehicle)
Prohibited Uses of Illinois Dealer Plates
Strict rules prohibit misuse. Plates may not be displayed on:
- Any vehicle rented to another person
- Work or service vehicles
- For-hire movements
- Second-division vehicles (trucks/trailers) carrying cargo (except limited one-trip exceptions)
- Vehicles used permanently as personal vehicles (including school commutes, vacations >25 days outside business area, military base use, or continuous personal use >25 days by non-employees)
Violations can result in fines, plate revocation, or license issues.
Record-Keeping and Reporting Requirements
Dealers must:
- Maintain records of plate assignments to employees
- Keep written records of drive-away decal permits sold
- File an annual report listing every prospective buyer who used a plate for a demonstration trip, including plate number and dates (Secretary of State may prescribe the form)
Records must be available for inspection.
How to Renew Illinois Dealer Plates?
Dealer licenses and plates expire December 31 each year. Renewal notices are mailed in September. Submit your renewal application, updated fees, insurance certificate, and any required documents before year-end to ensure continuous coverage.
Plates must be returned or updated upon license changes (sale of dealership, address change, etc.).
Costs Associated with Illinois Dealer Plates
- Dealer license: $1,000 per year
- Master dealer plates: $45
- Duplicate plates: $13 each
- Additional duplicate sets: $151 each
- Bond and insurance: Variable (bond typically one-time for first 60 months)
TRPs are issued electronically in bundles of 25 with no separate plate fee but tracked via your dealer User ID.
Frequently Asked Questions About Illinois Dealer Plates
Can out-of-state dealers use Illinois roads with their plates?
Generally, Illinois honors out-of-state dealer plates if used within the same restrictions as Illinois plates.
Are dealer plates transferable?
No. The license and plates are tied to the licensed business and cannot be transferred when selling a dealership.
What if I lose a plate?
Apply for replacement plates using the proper ILSOS form and pay duplicate fees.
Do I need plates to issue temporary tags?
No—TRPs are electronic and separate, but you still need dealer plates for demo and transport purposes.
For the most current forms and fees, always visit the official Illinois Secretary of State website at ilsos.gov.
Conclusion: Stay Compliant with Illinois Dealer Plates
Illinois dealer plates provide essential flexibility for legitimate dealership operations but come with clear rules designed to protect consumers and ensure fair taxation. By following the requirements, maintaining accurate records, and renewing on time, you can operate smoothly and avoid penalties.
For official applications, training registration, or questions, contact the Illinois Secretary of State Dealer Licensing Section at 217-782-7817 or visit ilsos.gov/departments/vehicles/dealer-remitter.html.
This guide is for informational purposes only and reflects regulations as of 2026. Always verify the latest rules directly with the Illinois Secretary of State, as laws can change. Safe and legal dealing!