By  on April 10, 2008

Albany, N.Y. (FNS) — Internet shoppers will be subjected to New York State sales tax for online purchases from companies located outside of the state, such as, according to the newly adopted State Budget.

According to the budget, if the New York commissioned sales are more than $10,000 annually, the Internet retailer is “presumed” to be doing business in New York and will therefore have to charge a sales tax on all sales into the State.

“This is a first step—but a critical one—in our on-going battle to level the sales tax playing field between New York retailers and the out-of-state Internet giants that have, for years, capitalized on an unfair and unintended competitive advantage driven solely by tax policy,” said James R. Sherin, president and CEO of the Retail Council of New York State.

“This is not a new tax,” he added. “It simply creates a realistic structure and framework to allow for the appropriate collection of a levy that has been on the books for more than 40 years.”

The budget also authorizes the City of New York to continue to permanently impose an additional 1 percent sales and use tax levy, maintaining the current local rate of 4 percent, beyond Aug. 1, 2008, when the MAC dedicated sales tax is scheduled to revert to a 3 percent New York City sales tax.

To continue reading this article...

To Read the Full Article

Tap into our Global Network

Of Industry Leaders and Designers

load comments
blog comments powered by Disqus