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New York Sales Tax

On this page you will find handy sales and use tax information about New York.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state.  Here you can see the sales tax rates and if the state has remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to New York that you can filter by topic. This will help you get informed on current and past legislation that has passed in the state.

State Sales Tax Rates
State Rate

4.000%
Range of Local Rates

0% – 5% Some local jurisdictions do not impose a sales tax.
Local Rates Apply to Use Tax

Yes
Remote Seller Nexus Rules
CLICK-THROUGH NEXUS

5/8/2008
AFFILIATE NEXUS

6/1/2009
ECONOMIC NEXUS

6/21/2018 – see state notice
MARKETPLACE NEXUS

6/1/2019
Administration Information
Streamlined Sales Tax Status

Advisory State
NUMBER OF TAXING AUTHORITIES

82 Sales Tax Jurisdictions

HOME RULE AUTHORITIES

N/A
Sales Tax Sourcing (Intrastate)

Destination
Sales Tax Return Due Date

Monthly filers: 20th of month following reporting period. Quarterly filers: last day of month following reporting period
Exemption Information
RESALE CERTIFICATE

New York Resale Certificate
TYPES OF EXEMPTIONS

Product types of exemptions: qualifying tractors, trailers, semitrailers, or omnibuses; promotional materials and associated services; computer system hardware; textbooks for college students; operators of internet data centers; capital improvement services; property and certain services for farm production or commercial horse boarding; purchase of a racehorse; purchases relating to guide, hearing, and service dogs; residential use of energy; and various others

 

Entity types of exemptions: Contractors; exempt organizations purchases; hotel rooms used by veterans; hotel rooms used by New York State or federal employees; certain property or services delivered on a Reservation; state or federal purchase orders

 

New York Exemption Certificate Forms
State Links
State Tax Web Page

New York State Department of Taxation and Finance
Rate Look-Up Page

New York Sales Tax Look-Up
Registration Link

Register for New York Sales Tax
History & Fun Facts
HISTORY

  • The New York state sales and compensating use taxes on tangible personal property were effective August 1, 1965. Before that time, tax was imposed by the state and 12 other local governments.
  • New York was an early adopter of “Amazon laws.” In 2008, the state amended its sales and use tax law to expand the state’s definition of nexus to include companies that do not have physical presence other than in-state affiliates.
FUN FACTS
  • New York taxes prepared food items. In 2010, this tax was brought to people’s attention because it was affecting a New York favorite: the bagel. Bagels bought whole and taken away are not taxed. However, bagels that are sliced, toasted, or served with a “schmear” such as cream cheese cross the line into being prepared food and are subject to sales tax.
  • New York has an excellent FAQ on what is considered a sandwich for tax purposes.

Contractor’s Purchases From Out-of-State Vendors Taxable in New York

A carpet and flooring company and its owners were liable for New York use tax on purchases of materials and supplies from out-of-state vendors which were incorporated into capital improvements for customers in New York.

Construction of Above-Ground Steam Pipeline Constitutes Capital Improvement in New York

The New York Commissioner of Taxation and Finance issued an advisory opinion declaring that the construction of a taxpayer’s custom-engineered steam pipeline constituted a capital improvement for New York sales and use tax purposes. The pipeline was designed to deliver…

Software Developed for Internal Use but Sold in Bulk Sale Taxable in New York

The New York Division of Tax Appeals upheld a decision stating that a legal document storage company’s sale of a self-developed software program intended solely for self-use was a taxable sale of tangible personal property when transferred as part of…

Online Training Modules Taxable in New York Unless Video-Based

In a recent Advisory Opinion, a taxpayer’s computer-based online training software modules were found to be pre-written software, and therefore taxable, because the modules were designed for sale to multiple customers. The taxpayer’s customization services, which allow the customer to…

New York Rules Use of Prior Observation Test Results for Sold Business Considered Valid

The New York Court of Tax Appeals has ruled that the method used to audit a delicatessen which had since been sold was valid. Previous audits of the deli had discovered inadequate records of the business, so an observation method…

Charges to Access Prewritten Computer Software Taxable in New York

A computer software seller’s product that allows customers to upload images onto the seller’s server and manipulate them to show various views and colors was determined to be prewritten computer software by the New York Commissioner of Taxation and Finance.…

Electricity Used to Power Telecommunications Equipment Taxable in New York

The New York Commissioner of Finance has upheld the Tax Appeals Tribunal\’s denial of a telecommunications service provider\’s claim for a refund of sales tax paid on…

New York Upholds the Observation Test Audit Method

The observation test audit method was upheld against a restaurant taxpayer, who failed to provide any books or records for the audit. When the taxpayer did not provide sufficient records, the auditor notified the taxpayer that an observation test would…

New York Games and Sounds Sold by Mobile Telecom Provider Discussed

The New York Department of Taxation and Finance has issued an advisory opinion regarding the taxability of wallpaper, games, music, and sounds sold by a mobile telecommunications provider. The Department found that the receipts from the sales of these products…

New York Supreme Court Dismisses Amazon’s Challenge on New Provision

Amazon.com’s lawsuit challenging New York’s new statutory provision concerning Internet retailers has been dismissed. Under the new Commission-Agreement Provision that Governor Paterson signed into law, retailers that solicit business by entering into an agreement with a resident of the state,…

Taxability of Online Learning Courses, Products, and Services in New York

New York has issued an advisory opinion discussing the taxability of different services provided by a taxpayer. An online learning course that enables customers to earn educational certificates in various fields through software was deemed taxable as prewritten software. The…

New York Basement Waterproofing System Taxability Discussed

A service company that repairs basement walls to seal cracks and prevent water damage is liable for New York sales tax. The company’s method of waterproofing basements is considered a taxable repair and therefore subject to sales tax. The company…

New York Redefines the Term Vendor

The New York State Department of Taxation and Finance released new rules regarding who is presumed to be a vendor, particularly pertaining to online retailers. The new rule states that merely placing an advertisement via a link on a representative’s…

New York Judge Rules Enhanced Electronic Messaging Services Not Subject to Tax

New York Judge Rules Enhanced Electronic Messaging Services Not Subject to Tax

New York Videos Delivered Over the Internet are Not Taxable

Video sales that are received by the customer electronically and downloaded to their computer are not subject to New York sales or use taxes because they are considered sales of intangible property. ( §1105(c)(1) or §1105(c)(9) of the Tax Law;…

New York Taxability of Computer Software, Hardware Used in Making Forms Discussed

A company’s sale of computer software, which provides customers the access to computer generated fill-in and functional forms as well as the ability to complete the forms, is subject to New York sales and use tax, regardless if delivered in…

New York Issues Instructions for Printers and Mailers

New York has issued collecting and reporting instructions for printers, mailers, and printer-mailers on sales made on and after September 1, 2008. A printer delivering printed matter to a mailer is required to collect the sales tax on the entire…

New York Determines that Parts and Equipment Used to Receive Satellite TV Programming is Taxable

A provider of satellite television programming was assessed tax on purchases of the following parts and equipment supplied to its’ customers: (i) a satellite dish, (ii) a low-noise block feedhorn (LNBF), (iii) a switch, (iv) a receiver (a.k.a. set-top box),…

New York Extends Expiration Date of New York City Service Tax

New York Legislation has postponed the expiration of sales and use tax on certain services in the city of New York. The tax, which was set to expire on December 31, 2008, will now be in effect until December 31,…

New York Taxability of Construction Debris Cleaning and Removal

Services involving the removal of construction debris by subcontractors are not subject to New York sales tax as long as the service is part of or in conjunction with a capital improvement project. This exemption only applies to debris removed…

New York Taxability of Millwork Shop Drawing Services

Charges for millwork shop drawing services relating to interior millwork are considered interior decorating and design services, which are subject to New York State and local sales and use tax. Charges for interior decorating and design services that are delivered…

Certain Access Control Security System Components Deemed Capital Improvements to Real Property

Certain Access Control Security System Components Deemed Capital Improvements to Real Property

Amazon.com Contests New York Tax on Internet Sales

Amazon.com has filed a lawsuit in New York Supreme Court, claiming that a recent New York statutory provision, which requires Internet retailers with no physical presence in the state to collect and pay sales and use tax on purchases made…

New York Service Provider’s Purchases for Resale Qualify for Exemption

A recent Advisory Opinion determined that an information and technology service provider’s purchases of computer equipment that is offered to customers at an additional charge qualify for the New York resale exclusion from sales and use tax. The purchases are…