Section 325.40  Requirements to Establish an Advance Deposit Wagering Account

a)         Accounts shall be established in person or by mail, telephone or electronic media before any wagering shall be conducted. An account shall only be established in the name of an individual and is non-transferable.

b)         Any individual prohibited from wagering by the Board shall be prohibited from establishing an account or placing a wager.

c)         The information required to establish an account shall include:

1)         Account holder's full legal name.

2)         Principal residence address.

3)         Telephone number.

4)         Social security number.

5)         Identification or certification to prove the account holder is at least 18 years of age.

6)         Any other information required by the ADW licensee.

d)         The ADW licensee shall employ electronic verification with respect to each account holder's name, principal residence address, date of birth and social security number at the time of account establishment by a Board-approved, independent, credit reference service or other verification service as approved by the Board.  If the verification process fails, using procedures approved by the Board, the ADW licensee may accept physical proof of age, identity and residency through actual documentation.

e)         The ADW licensee may refuse to establish an account if it is found that any of the information supplied is false or incomplete or for any other reason the ADW deems appropriate.  An ADW licensee may close accounts for violation of its terms of agreement or any other reason it deems appropriate.

f)         An ADW licensee may cease wagering on any particular race or racetrack.

g)         The account holder shall designate a means of personal identification verification to use to access his or her account.

h)         An ADW licensee shall designate an account number for each account.  The ADW licensee shall inform the account holder of the assigned account number and provide a copy of its ADW procedures, terms and conditions, as well as any information that pertains to the operation of the account.

i)          The ADW licensee shall comply with Internal Revenue Service requirements for reporting and withholding proceeds from advance deposit wagers by account holders and shall send to account holders subject to IRS reporting or withholding a Form W2-G summarizing the information for tax purposes following a winning wager being deposited into an account. Upon written request, the ADW licensee shall provide account holders with summarized tax information on advance deposit wagering activities.

j)          Only Illinois residents who have accounts with an ADW licensee licensed by the Board may engage in advance deposit wagering.