New York Increases Exemption Threshold for Vending Machine Sales
- Sales Tax News
- Jun 2, 2014 | Gail Cole
New York State has increased the sales tax exemption for certain vending machine sales. Beginning June 1, 2014, the threshold for exempt vending machine sales increased from $0.75 to $1.50 per item.
The New York sales tax exemption applies to vending machine sales of:
- Fruit drinks containing less than 70% natural fruit juice
These items are subject to sales tax when sold elsewhere, such as in grocery or convenience stores. Only candy, fruit drinks and soda sold through vending machines are exempt.
Hot beverages sold through vending machines remain exempt from tax, no matter the sales price. New York State Department of Taxation and Finance website.
New York isn’t the only state to ponder the tax status of vending machine sales. California updated information on this topic last fall. And Alabama sales tax rate change notices often include information on the rate for food sold through vending machines.
Learn how automated sales tax simplifies sales tax compliance.