New York SBDC Research Network

From the New York State Department of Taxation and Finance Whether sales of a particular good or service are taxable may depend on many factors. Sales of tangible personal property are subject to New York sales tax unless they are specifically exempt. The term tangible personal property means any kind of physical personal property that has a material existence and is perceptible to the human senses (in other words, something you can see and touch). Sales of services are generally exempt from New York sales tax unless they are specifically taxable You should not collect sales tax on exempt sales that do not require an exemption document. However, for sales that require an exemption document, you must collect sales tax unless you receive a properly completed exemption document from the purchaser.

In 2013, gifts of goods and services accounted for 2 percent of total consumer spending. Among these gifts, consumers spent the largest share on education (25 percent). Most education gifts were for college tuition. Nineteen percent of gift spending was for housing-related items in 2013. Among housing-related items, the largest share was for housing while attending school. Eighteen percent of gift spending went toward apparel and services. Consumers spent 7 percent on apparel and services for women and girls age 2 and older, compared with 5 percent for men and boys age 2 and older. These data come from the Consumer Expenditure Survey. More from the Bureau of Labor Statistics .