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Level 1
posted May 31, 2019 8:29:50 PM

In Maine we pay tax on cars. The bill is split into a reg fee and excise tax based on value which fluctuates. Can I deduct the excise portion under personal property?

There is a set registration fee of $35 per car in Maine and a $33 title fee, and then there is an excise tax based solely on the value of the motor vehicle which changes each year using a different multiplier (mil rate) to the MSRP based on the age of the vehicle.  

I understand I cannot claim the car registration fee and title fee in Maine, but can I claim the value based portion of this yearly tax as a personal property deduction?  In my case that is about $600 of the tax for one car and about $200 on my other.

0 3 548
3 Replies
New Member
May 31, 2019 8:29:52 PM

Yes, you are exactly right.  You only claim the amount that is based on the value of the vehicle.

To get there, go to: Federal Taxes Deductions & CreditsCars and Other Things You Own > Personal Property Taxes

This will transfer over to your state return, if your state allows the deduction.

Hope this helps.

New Member
May 31, 2019 8:29:54 PM

I was on board with your reply until the last line "If your state allows the deduction".  Can you confirm if my state (Maine) allows this deduction?   Thanks for the information so far!

New Member
May 31, 2019 8:29:56 PM

I admit to not being an expert in the various state tax laws, but from what I can tell, Maine does allow this deduction.  Just be sure to enter it in Personal Property Taxes (instead of Registration Fees)