Pheffer: Sales Tax Cut ‘Important’ For Revitalization
Assemblywoman Audrey I. Pheffer says that she is pleased to announce that legislation she sponsored that will eliminate New York City’s 4 percent sales tax on clothing and footwear costing under $110 beginning September 1 has been signed into law.
“This is an important piece of legislation in ensuring the continued revitalization of the New York City retail economy. This new law will help not only New Yorkers save on purchases, but also place New York City merchants at a more competitive advantage with Connecticut and New Jersey,” said Pheffer.
The new exemption will put New York City on a more level playing field with other out-of-state areas in the New York Metro region, such as Connecticut and New Jersey where clothing purchases under $50 are exempt from sales tax.
Since 1995, the State has held a series of sales tax-free weeks in New York City and throughout the State. The sales tax-free weeks have saved New Yorkers hundreds of millions of dollars and increased business for local merchants.
“”New York’s working families deserve a break, today and everyday, when buying the clothing and shoes every family needs. Today we are helping moms and dads buy jeans, dresses, coats, boots and gloves without breaking the family budget. And we’re encouraging New Yorkers to shop here, rather than across state lines, which means our local businesses ring up sales and our economy becomes stronger,” said Speaker Sheldon Silver, sponsor of the bill and the first to propose eliminating the sales tax in 1995.
This year’s State Budget also authorized two one-week temporary exemption periods from all State (and participating localities) sales tax on clothing and footwear priced at under $110. These two week periods will occur on Tuesday, August 10, 2005, and ending on Labor Day, Monday, September 5, 2005, and beginning on Monday, January 30, 2006, and ending on Sunday, February 5, 2006.