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Madison County New York: No Exemption for Clothing

  • Mar 15, 2013 | Gail Cole

 Shoes Are Now Subject to Local Sales Taxes in the city of Oneida and Madison County, New York.

New York has had a somewhat conflicted relationship with clothing, footwear and sales tax during the past few years. The NY Department of Taxation and Finance has published a notice explaining this curious history.

For a time, the state allowed an exemption from state sales tax for clothing and footwear sold for less than $110 per item or pair. Then the state terminated that exemption. Next the state allowed an exemption for clothing and footwear costing less than $55. Throughout this time frame, local districts -- cities and counties -- could elect to exempt or not exempt the clothing. Many chose to tax them.

Last spring, on April 1, 2012, the original $110 state sales tax exemption was restored.

What would you tell a friend who was dating the New York State Department of Taxation and Finance? Can this be trusted?

Moving On

If you sell clothes in New York, all you can do is charge the tax if it's required, or not charge the tax if it isn't.

And as of March 1, 2013, the tax is charged in Madison County and the city of Oneida. Sales of clothing and footwear are now subject to the local rate of 4%

A complete list of local districts that tax or exempt clothing at the local level is available at the New York Department of Taxation.

Fun Fact

The New York Department of Taxation and Finance, in a stunning display of acuity, gets in front of a potential point of contention. It states that "[t]he exemption applies only to clothing and footwear worn by humans."

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Sales tax rates, rules, and regulations change frequently. Although we hope you'll find this information helpful, this blog is for informational purposes only and does not provide legal or tax advice.
Gail Cole
Avalara Author
Gail Cole
Gail Cole
Avalara Author Gail Cole
Gail began researching and writing about sales tax in 2012 and has been fascinated with it ever since. She has a penchant for uncovering unusual tax facts, and endeavors to make complex sales tax laws more digestible for both experts and laypeople.