We report the accurate sub-arcsec X–ray position of the new Anomalous X–ray Pulsar (AXP) XTE J1810−197, derived with a Chandra –HRC Target of Opportunity observation carried out in November 2003. We also report the discovery of a likely IR counterpart based on a VLT (IR band) Target of Opportunity observation carried out in October 2003. Our proposed counterpart is the only IR source (Ks=20.8) in the X–ray error circle. Its IR colors as well as the X-ray/IR flux ratio, are consistent with those of the counterparts of all other AXPs (at variance with field star colors). Deep Gunn-i band images obtained at the 3.6m ESO telescope detected no sources down to a limiting magnitude of 24.3. Moreover, we find that the pulsed fraction and count rates of XTE J1810−19
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