New York: Sales Tax Handbook
New York Sales Tax Rate
|State Sales Tax||Local Sales Tax Range||Average Local Tax||Average Combined Tax||Max Combined Tax|
|4.00%||3.00% - 4.875%||4.202%||8.202%||8.875%|
2016 New York Sales Tax Handbook
New York Table of Contents
- List of Local Sales Tax Rates
- Sales Tax Calculator
- Sales Tax Exemption Certificates
- Sales Tax Info For Businessowners
- Taxable vs. Non-Taxable Purchases
- Sales Tax on Cars & Vehicles
- More Information
New York's Sales Tax By The Numbers:
New York has a lower-than-average state sales tax rate of 4.00%, but the actual combined sales tax rates are higher than average when local sales taxes from New York's 75 local tax jurisdictions are taken into account.
Rankings by Average State + Local Sales Tax:
Ranked 7th highest by combined state + local sales tax
Ranked 12th highest by per capita revenue from state + local sales taxes ($1,276 per capita)
Rankings by State Sales Tax Only:
Ranked 19th highest by state sales tax rate
Ranked 37th highest by per capita revenue from the statewide sales tax ($618 per capita)
Printable PDF New York Sales Tax Datasheet
New York has a statewide sales tax rate of 4.00%, which has been in place since 1965.
Municipal governments in New York are also allowed to collect a local-option sales tax that ranges from 3.00% to 4.875% across the state, with an average local tax of 4.202% (for a total of 8.202% when combined with the state sales tax). The maximum local tax rate allowed by New York law is 4.875%. You can lookup New York city and county sales tax rates here.
This page provides an overview of the sales tax rates and laws in New York. If you are a business owner and need to learn more about things like getting a sales tax permit, filing a sales tax return, or making tax-exempt purchases for resale see the New York Sales Tax Handbook's Table of Contents above.
What is exempt from sales taxes in New York?
Many states have special sales tax rates that apply to the purchase of certain types of goods, or fully exempt them from the sales tax altogether. Here's how New York taxes five types of commonly-exempted goods:
For more details on what types of goods are specifically exempt from the New York sales tax see New York sales tax exemptions. To learn more about what types of transactions are subject to the sales tax to begin with, see what purchases are taxable in New York? Taxation of vehicle purchases in particular are discussed in the page about New York's sales tax on cars.
Are services subject to sales tax in New York?
"Goods" refers to the sale of tangible personal property, which are generally taxable. "Services" refers to the sale of labor or a non-tangible benefit. In New York, specified services are taxable.
About the New York Sales Tax
The state of New York has relatively complex sales tax rate, and utilizes a flat state tax rate. However, in addition to the flat state tax rate, all of the New York counties, may collect an additional percentage.
Is the New York Sales Tax Destination-Based or Origin-Based?
New York is a destination-based sales tax state, which means that sales tax rates are determined by the location of the buyer when the transaction is completed. This means that, for orders placed via the internet/mail by a customer within New York from a New York vendor, the vendor must collect a sales tax rate applicable at the buyer's address (including any applicable local sales taxes). This can significantly increase the complication of filing your sales tax return, because different sales tax rates must be charged to different buyers based on their location.
Is New York a Streamlined Sales Tax State?
New York is not a member of the Streamlined Sales and Use Tax Agreement. The SSUTA is an agreement adopted by about half of states that ensures that their sales tax laws are simplified to lower the costs associated with compliance.
Contact the New York Department of Taxation and Finance
The New York Sales Tax is administered by the New York Department of Taxation and Finance. You can learn more by visiting the sales tax information website at www.tax.ny.gov.
Phone numbers for the Sales Tax division of the Department of Taxation and Finance are as follows:
- Local Phone: (518) 485-2889
Learn More: Our Book Recommendations
If you would like to learn more about how to manage your New York sales taxes, we recommend the following books:
Simplify New York sales tax compliance! We provide sales tax rate databases for businesses who manage their own sales taxes, and can also connect you with firms that can completely automate the sales tax calculation and filing process. Click here to get more information.
New York Sales Tax Rates by Zip Code:
Need an updated list of New York sales tax rates for your business? Download our New York sales tax database!