Ad valorem taxes are now paid at purchase of vehicle in GA. Can this amount be claimed for new car in 2015?

[Bsch4477 · Accepted solution]

The new Georgia Title Ad Valorem Tax (TAVT) is not deductible as a property tax as it is not imposed on an annual basis. Instead it appears to be a tax in the nature of a sales tax. Thus the tax would be deductible on Schedule A of Form 1040 if you itemize as part of your state and local sales tax paid, however if you choose to deduct sales tax you cannot claim the deduction for state income taxes paid. Note because the deduction for state, local, or foreign taxes is based on taxes paid or accrued you can claim the deduction in the year you bought the car even if you finance the taxes as a part of the loan.