New York, Clothing, Sales Tax Exemption – It’s Baaaa-aack!
- Sales Tax News
- Mar 30, 2012 | Susan McLain
The Ithaca Journal reports that, “[t]he state levied a full sales tax of 4 percent from October 2010 to March 2011 to raise revenue amid its fiscal woes. The state made $330 million during the period.” Most counties and many cities also levy their own tax rates on purchases of clothing—some joined the moratorium, others continued to levy the local sales tax during this time.
What do businesses have to say? The Journal quotes Beth Madsen, owner of Elizabeth Boutique in Poughkeepsie as saying, "I don't think it's been a big difference." And some businesses feel consumers aren’t even aware of the exemption.
However, “[t]he Retail Council of New York State, a trade association that represents state retailers, said promotion of the exemptions could help clothing stores compete with neighboring states.” In addition to an exemption from the state sales tax, Melissa Googas, assistant director of government relations at the Retail Council feels if counties participated, then “[t]he savings, we believe, would resonate better with customers…and retailers would not be forced to compete with the neighboring states who have better sales tax policies.”
TaxTreat: From April 1st- clothing, footwear, etc. sold for less than $110 (per individual item) will be exempt from the NYS 4% sales tax.
— Letitia James (@TishJames) March 30, 2012
Sales tax reset on clothing: The move pleased retailers, although at least one doubted it would make much of a d... bit.ly/HjgYy6
— Dennyism....z (@dthompson1111) March 29, 2012
— Jessy (@jessy757) March 30, 2012