a vehicle that is lowered can pass inspection, provided it meets some criteria.

the tires cannot scrub the body. it cannot be lowered where it causes any point of the body, frame, or fuel tank to contact the ground. if the lowering reduces the turning radius, it wont pass. those retarded ground control coil over kits that slip over your factory struts using o rings to take up the slack wont pass, due to the fact they let the spring fall out when lifted up. the ricers, and MaDJDM DRYFT0rZ that like having uber neg. camber are rejectable as fuck also, due to the fact the vehicles tires are visually out of line.

add in line 12, which states that a vehicle can be rejected due to any modification that has been made to any part of the steering or suspension system that affects proper steering or suspension or any part of the original system has been disconnected.

its purely up to the interpretation of the inspection laws by the inspector and trooper. MOST vehicles, when properly lowered, will pass. however, dont expect to have a car that is slammed pass. general rule of thumb is 1-1.5" of drop is the most you can do without causing much suspension issues, and that is legal.