N.Y. ASSEMBLY CLEARS BILL CUTTING SALES TAX ON SUB-$500 APPAREL
ALBANY, N.Y. — A bill exempting apparel priced less than $500 from the 4 percent state sales tax has passed the State Assembly and has been sent to the Senate for approval.In addition, the bill gives localities the power to waive local sales tax on the same goods. “The savings consumers realize by abolishing the state’s 4 percent sales tax on [apparel] means money left in pockets and pocketbooks, increased economic activity and a boost for our economy,” said Assembly Speaker Sheldon Silver of Manhattan, lead sponsor of the bill, which also covers footwear costing less than $500.
“Eliminating the state sales tax would make New York State more competitive within the retail clothing and apparel industries,” explained Assemblyman Michael J. Bragman of Onondaga, co-sponsor of the bill.
Assemblyman Herman D. Farrell of Manhattan said the bill, if enacted into law, would bring shoppers and jobs back to the state while reducing the tax burden on the middle and lower classes.
Assemblymen Silver, Bragman and Farrell are all Democrats.
State Senator Joseph L. Bruno, a Republican, said the elimination of the sales tax on apparel would be on the list of possible tax cuts the Senate will examine.