FOR IMMEDIATE RELEASE
July 25, 2005
MAYOR BLOOMBERG JOINS GOVERNOR PATAKI FOR THE SIGNING OF A BILL ELIMINATING NEW YORK CITY'S SALES TAX ON CLOTHING
City’s 4% Sales Tax on Clothing & Footwear Will Be Eliminated September 1st
Mayor Michael R. Bloomberg today joined Governor George E. Pataki and other State, local business and community officials as the Governor signed legislation into law that will eliminate New York City's 4% sales tax on clothing and footwear costing under $110 beginning September 1st.
"The reduction of the sales tax on clothing and footwear under $110 will be greatly appreciated by hardworking New Yorkers," said Mayor Bloomberg. "They deserve a break on this regressive tax and I am pleased that Governor and our legislative leaders agree. New Yorkers will now have an extra incentive to shop in the City and will see the price of clothing and footwear drop. In addition, this legislation will give an economic lift to our New York City's retailers whose stores will be more attractive to shoppers from both inside and outside the City."
"By exempting the City's sales tax on clothing and footwear purchases, we will give a tremendous boost to New York City's retailers and provide a great opportunity for working families to save more of their hard-earned money at the check-out counter," Governor Pataki said. "This sales tax exemption is another example of our commitment to lowering costs and improving the quality-of-life in New York City and I'm proud to sign this legislation into law."
The new exemption will put New York City on a more competitive 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.
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 30, 2005, and ending on Labor Day, Monday, September 5, 2005, and beginning on Monday, January 30, 2006, and ending on Sunday, February 5, 2006.
Edward Skyler/Jordan Barowitz (212) 788-2958
Mollie Fullington (Governor) (212) 681-4640
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