The New York (NY) state sales tax rate is currently 4.0%. Depending on local municipalities, the total tax rate can be as high as 8.875%.

Other, local-level tax rates in the state of New York are quite complex compared against local-level tax rates in other states. New York sales tax may also be levied at the city/county/school/transportation and SPD (special purpose district) levels.

New York sales tax has numerous local taxing levels that must be monitored and maintained on a regular basis, it is complex and time consuming due to the volume of jurisdictions.

Amazon.com has offices in New York, New York. This physical presence, or nexus, creates a sales tax obligation for Amazon and many sellers participating in Amazon’s Seller Central and Fulfillment By Amazon (FBA) programs. New York State also has an online sales tax.

Anyone making retail sales of taxable tangible personal property or services is required to register with the New York Tax Department at least 20 days prior to making taxable sales.

How to Register

Businesses must obtain from the Tax Department a Certificate of Authority, which gives them the authority to collect tax on taxable sales. Applications are through the NYS License Center, which replaced the Online Permit Assistance and Licensing (OPAL) in January 2014. A separate Certificate of Authority is required for each business location.

How to File and Pay

Certain annual, quarterly and part-quarterly sales tax filers are required to Web File their sales tax returns. If permitted, paper returns may be downloaded and returned to the Tax Department.

  • Businesses owing $3,000 or less in tax during an annual filing period may file annually, if approved by the Tax Department. The annual filing period runs March 1 through the last day of February.
  • Businesses with combined taxable receipts of less than $300,000 during the previous quarter may file quarterly returns. New vendors generally file quarterly returns.
  • Businesses with combined taxable receipts of $300,000 or more in a quarter must file monthly, or part-quarterly returns.

No sales tax due returns are required.

Deadlines

Sales tax returns are due on or before the 20th of the month following the reporting period. Additional information.

Avalara Sales and Use Tax Products for New York

AvaTax – AvaTax is a powerful, online sales tax compliance solution that provides all businesses with a level of sales tax automation that until now has been available only to Fortune 500 companies. AvaTax’s transaction-based service model and seamless integration into business applications gives you rapid access to all jurisdiction assignments and real-time sales tax calculations. Cutting-edge technologies and superior processing logic can manage even the most complicated tax issues, such as situs, nexus, tax tiers, tax holidays, exemptions, certificate management and product taxability rules.

TrustFile - Avalara TrustFile provides detailed sales tax reporting for online sellers. Allowing businesses to know exactly where, when and how much to file. Ecommerce business owners can use TrustFile to determine whether or not they are collecting the right amount of sales tax in each individual state, and then store a record of their sales tax history securely in the cloud for free.

New York State Department of Taxation and Finance