Calculate NYC Sales Tax
Select your purchase type — special rates automatically applied.
How It Works
NYC's 8.875% Is Actually Three Taxes
The statewide base rate imposed on retail sales of most tangible goods and certain services. Applies across all of New York State. Has been 4% since 2005.
New York City's own local tax, authorized under the NYC Administrative Code. This is why beauty services (salon, barbershop, spa) are taxed at only 4.5% — the city tax, not the state tax, covers them.
The Metropolitan Commuter Transportation District surcharge funds the MTA. It applies to NYC and surrounding counties (Nassau, Suffolk, Westchester, etc.). It does NOT apply to clothing under $110 or beauty services.
Context
How NYC's Rate Compares
| City | State Rate | Local Rate | Combined Rate | Notes |
|---|---|---|---|---|
| 🗽 New York City, NY | 4.00% | 4.875% | 8.875% | + special rates for parking, hotels, beauty |
| Los Angeles, CA | 6.00% | 3.25% | 9.25%–10.25% | Varies by district; higher than NYC in many areas |
| Chicago, IL | 6.25% | 4.00% | 10.25% | One of the highest in the US |
| Houston, TX | 6.25% | 2.00% | 8.25% | No state income tax; relies on sales tax |
| Miami, FL | 6.00% | 1.00% | 7.00% | No state income tax |
| Seattle, WA | 6.50% | 3.60% | 10.10% | No state income tax; high local rates |
| Boston, MA | 6.25% | 0.00% | 6.25% | No local sales tax in Massachusetts |
| Philadelphia, PA | 6.00% | 2.00% | 8.00% | City wage tax separate |
Rates as of April 2026. Local variations within metros may apply. NY Dept. of Taxation and Finance
Compliance Guide
What Is (and Isn't) Taxable in NYC?
✓ Taxable at 8.875%
- Most tangible personal property
- Electronics, computers, appliances
- Furniture & household goods
- Clothing & footwear $110 or more per item
- Restaurant meals & prepared foods
- Candy, soft drinks & bottled water
- Alcohol & tobacco products
- Motor vehicles & vessels
- Digital downloads (music, movies, apps)
- SaaS & cloud software subscriptions
- Hotel rooms (base rate + additional fees)
- Short-term rental occupancy (from Mar 2025)
✗ Exempt or Special Rate
- Unprepared groceries (fruits, veg, bread, meat, dairy)
- Prescription drugs & insulin
- OTC medicines & certain medical supplies
- Clothing & footwear <$110/item — 4.5% NYC only
- Beauty & personal services (salon, spa, massage) — 4.5% NYC only
- Newspapers & qualifying periodicals
- Residential energy storage systems (to May 31, 2026)
- Resale purchases with Form ST-120
- Sales to qualifying nonprofits & government
- Agricultural supplies (qualifying)
- College textbooks (qualifying)
Based on NY Tax Law §1105 & NYC Finance guidance. Consult a tax professional for specific situations.
What Most Calculators Miss
NYC's Unique Special Tax Rates
Clothing Under $110
4.5% — Not 8.875%Items of clothing and footwear priced under $110 per item are exempt from the 4% state tax and 0.375% MCTD — but the 4.5% NYC local tax still applies. The $110 threshold applies per item, not per transaction.
Beauty & Personal Services
4.5% — NYC OnlyHaircuts, manicures, pedicures, massages, electrolysis, and weight-control salon services are taxed under the NYC Administrative Code §11-2002 — not state law. Result: 4.5% total, not 8.875%.
Manhattan Parking
18.375% — ManhattanParking in Manhattan carries an extra 8% NYC surcharge on top of the standard rate, producing a staggering 18.375% total. Manhattan residents with proof of residency may qualify for a reduced 10.375% rate.
Hotel Occupancy
8.875% + Extra FeesNYC hotel rooms are subject to the 8.875% base rate plus a $1.50/night NYC unit fee and a $2.00/night state unit fee. The total hotel tax burden in NYC is one of the highest in the country.
Short-Term Rentals (New 2025)
8.875% + $1.50/nightEffective March 1, 2025: NY Tax Law now applies sales tax to short-term rental unit occupancy (Airbnb, VRBO, etc.) when the charge exceeds $2.00/unit/day. NYC also adds a $1.50/unit/night fee.
Energy Storage (Exempt to 2026)
Exempt to May 31, 2026Residential energy storage system equipment (batteries, inverters, components) and installation services are fully exempt from NY sales tax through May 31, 2026 under Chapter 59 of the Laws of 2024.
Common Questions
NYC Sales Tax FAQ
What is the NYC sales tax rate in 2025–2026?
The combined NYC sales tax rate is 8.875%, unchanged for 2025–2026. It comprises: 4% New York State (NY Tax Law §1105), 4.5% New York City local (NYC Admin Code §11-2002), and 0.375% MCTD surcharge (NY Tax Law §1109).
Does the 8.875% rate apply in all five NYC boroughs?
Yes. The 8.875% combined rate applies uniformly across all five boroughs — Manhattan, Brooklyn, Queens, the Bronx, and Staten Island. There is no variation between boroughs for standard goods, though special rates (parking, hotel, beauty) apply throughout the city.
Is clothing taxable in New York City?
It depends on the price. Clothing and footwear items under $110 per item are exempt from the 4% state tax and 0.375% MCTD surcharge, so only the 4.5% NYC local tax applies. Items at or above $110 per item are taxed at the full 8.875%. The $110 threshold is per item, not per purchase.
Are groceries taxable in New York City?
Most unprepared food items for home consumption — fruits, vegetables, bread, dairy, meat, eggs — are exempt from sales tax in NYC. However, restaurant meals, hot prepared foods from a deli or salad bar, candy, soft drinks, and bottled water are taxable at the full 8.875%.
Why is a haircut only 4.5% tax in NYC?
Beauty and personal care services (haircuts, manicures, pedicures, massages, electrolysis, weight-control salon services) are taxed under the NYC Administrative Code §11-2002, which is a city-only tax. The state and MCTD taxes under NY Tax Law §1105 do not apply to these services — so the total is just 4.5%, not 8.875%.
What is the NYC hotel tax rate?
Hotels in NYC are subject to the 8.875% combined sales tax on room charges, plus a $1.50/night NYC unit fee and a $2.00/night NY State unit fee. There is also a NYC hotel room occupancy tax of 5.875% plus $1.50 per unit per day. The total effective hotel tax burden in NYC often exceeds 14%.
Is Airbnb subject to NYC sales tax?
Yes, as of March 1, 2025. Under Part AA of Chapter 59 of the Laws of 2025 (NY Tax Law §1105), short-term rental occupancy is now subject to New York State and local sales tax when the charge exceeds $2.00/unit/day. NYC also imposes an additional $1.50/unit/night fee. Exemptions exist for "permanent residents" (generally after 90 days in NYC).
How do I get a NY sales tax exemption certificate?
Use Form ST-120 (Resale Certificate) for resale purchases, Form ST-119.1 for exempt organizations, or Form ST-121 for specific exempt uses. Sellers must collect and retain valid exemption certificates. Apply for a Certificate of Authority (required to collect tax or accept exemption certificates) through NY.gov Business Express.
What is the economic nexus threshold for remote sellers in New York?
Remote sellers must register and collect New York sales tax if they exceed $500,000 in New York sales AND more than 100 transactions in the preceding four sales tax quarters. This is sometimes called New York's "Amazon Law" or economic nexus rule.
Learn More About NYC Sales Tax
Our comprehensive guide covers NYC sales tax rules, special rates, exemptions, filing deadlines, and compliance for businesses — written clearly for 2025–2026.
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