New York's base sales tax rate and how it breaks down
New York State charges a base sales tax of 4 percent on most goods and services. However, the total rate you pay at checkout depends on your county and sometimes your city, because counties and cities add their own local sales taxes on top of the state rate. The combined rate ranges from 7 percent to 8.875 percent across New York, depending on where you are.
When you see a price tag in a New York store, the sales tax shown at checkout will be higher than 4 percent. That difference is the local portion. For example, if you buy something in New York City, you pay 8.875 percent total: 4 percent state plus 4.5 percent local (which includes city and county taxes combined). In Buffalo, you pay 8 percent total: 4 percent state plus 4 percent local.
The state collects all the tax money and then distributes the local portion back to each county and city. From your perspective as a buyer, you only see one number at the register — the combined rate for your location.
Key Takeaways
- New York State's base sales tax is 4 percent, but your actual rate depends on your county and city, ranging from 7 percent to 8.875 percent total.
- New York City has the highest combined rate at 8.875 percent; most other counties fall between 7 percent and 8.5 percent.
- The tax rate you pay is determined by where the sale happens, not where you live, so buying in different counties can mean different totals.
- Some items are taxed at lower rates or not taxed at all, including most clothing under $110, prescription drugs, and most groceries.
Sales tax rates by major New York counties
The combined rate (state plus local) varies significantly across the state. New York City — which includes New York, Kings, Queens, Bronx, and Richmond counties — charges 8.875 percent. Westchester County charges 8.875 percent. Nassau and Suffolk counties on Long Island charge 8.875 percent. Erie County (Buffalo) charges 8 percent. Monroe County (Rochester) charges 8 percent. Onondaga County (Syracuse) charges 8 percent.
Smaller counties and rural areas often have lower combined rates. For example, some counties in the Finger Lakes and North Country regions charge 7 percent or 7.25 percent. The variation exists because each county and city sets its own local rate within state limits, and not all counties use the maximum allowed.
If you cross county lines to shop, you will pay the rate of the county where the transaction occurs. Buying in one county and taking the item home to another does not change the tax — what matters is where you hand over money.
What items are taxed differently or not at all
Most clothing and footwear under $110 per item is not taxed in New York. This means a $100 shirt costs $100, but a $150 shirt costs $150 plus sales tax. The $110 threshold applies to each individual item, so you could buy five $109 shirts tax-free, but a $111 jacket would be taxed.
Prescription medications and insulin are not taxed. Over-the-counter medicines like aspirin and cold remedies are taxed at the full rate. Most unprepared groceries — bread, milk, vegetables, meat, eggs — are not taxed. However, prepared foods, candy, and soda are taxed. Restaurant meals are always taxed.
Newspapers and magazines are not taxed. Gasoline is taxed, but the tax is built into the pump price you see. Haircuts and personal services are taxed. Veterinary services are taxed. If you are unsure whether a specific item is taxed, ask the cashier or check the receipt — it will show whether tax was applied.
How to find the exact rate for your location
The New York Department of Taxation and Finance maintains an official sales tax rate lookup tool on its website. You enter your address or zip code, and it shows you the combined state and local rate for that specific location. This is the most reliable way to confirm the rate, especially if you live near a county border or in a city with its own local tax.
You can also call the New York Department of Taxation and Finance at 518-457-5181 during business hours. They can tell you the rate for any address in the state. If you are a business owner or accountant, you may need to track rates for multiple locations; the department's website also provides downloadable rate tables by county.
Tax rates can change, though they do not change frequently. If you are planning a major purchase or need the rate for business purposes, verify it within a few days of the transaction rather than relying on a rate you learned months earlier.
Why rates differ between counties and cities
New York State allows counties and cities to set their own local sales tax rates within limits set by state law. The state keeps 4 percent; counties can add up to 4.5 percent, and cities can add additional tax on top of that. Each locality uses this revenue for schools, roads, police, and other services. Because wealthier areas and high-traffic cities generate more sales tax revenue, they sometimes choose lower rates to stay competitive with neighboring areas.
New York City, for example, uses its high rate partly because it has high service costs and partly because it has enough sales volume that even at 8.875 percent, shoppers still come. Smaller towns may charge less to draw shoppers from neighboring counties. This is why you will see a range of rates across the state rather than one uniform number.
Sales tax on online and mail orders
If you order something online from a New York retailer and have it shipped to a New York address, you pay the sales tax rate of the county where it is delivered, not where the retailer is located. If you order from an out-of-state retailer, the rules depend on whether that retailer has a physical presence (called "nexus") in New York. Most large retailers now collect New York sales tax on orders shipped to New York addresses, regardless of where they are based.
If you order from a small out-of-state seller with no New York location and they do not collect sales tax, you are technically responsible for paying "use tax" — which is the same rate as sales tax — when you file your personal tax return. In practice, most individuals do not report this, but it is the law. Businesses are more likely to be audited on use tax, so they should track these purchases.
Frequently Asked Questions
Does New York have sales tax on groceries?
Most groceries are not taxed, including bread, milk, fresh produce, meat, and eggs. However, prepared foods (rotisserie chicken, deli sandwiches), candy, soda, and hot beverages are taxed. The distinction is whether the food is ready to eat or requires preparation at home.
What is the sales tax rate in New York City?
New York City's combined sales tax rate is 8.875 percent. This applies to all five boroughs: Manhattan, Brooklyn, Queens, the Bronx, and Staten Island. The rate includes 4 percent state tax plus 4.5 percent local tax.
Do I pay sales tax on clothing in New York?
Clothing and footwear under $110 per item are not taxed. Items $110 or more are taxed at the full rate for your location. The threshold applies to each individual item, not your total purchase.
Can I avoid sales tax by shopping in a different county?
No. You pay the sales tax rate of the county where the transaction occurs, not where you live. If you buy something in a county with a lower rate, you pay that rate, but you cannot avoid tax by crossing county lines — you will straightforward pay a different rate.
Is gasoline taxed in New York?
Yes, gasoline is taxed, but the tax is included in the per-gallon price shown at the pump. You do not see it listed separately like you do for other purchases. The combined state and local tax on fuel varies by county, just like sales tax on other items.