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KR4
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Can I add TAVT (Georgia) while filing tax returns?

 
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DDollar
Expert Alumni

Can I add TAVT (Georgia) while filing tax returns?

No, it is not deductible  For vehicles purchased in (or transferred to) Georgia on or after March 1, 2013, there is a title tax (TAVT).  It is assessed at the time of purchase on a one time basis.  According to the IRS "Deductible personal property taxes are those based only on the value of personal property such as a boat or car. The tax must be charged to you on a yearly basis, even if it's collected more than once a year or less than once a year."   Therefore, it is not deductible as a state or local property tax. 

If a vehicle is used for business, the title tax should be added to the cost basis like a sales tax. 

For vehicles purchased in (or transferred to) Georgia  prior to March 1, 2013 there is still an ad valorem tax assessed annually and based on the value of the vehicle.  This ad valorem tax is deductible each year.


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