NYC sales tax is 8.875 percent on most purchases

New York City's sales tax rate is 8.875 percent. This is made up of the New York State sales tax (4 percent), the Metropolitan Commuter Transportation District tax (0.375 percent), and the New York City sales tax (4.5 percent). When you buy something in NYC, the seller adds all three together.

The rate is the same across all five boroughs—Manhattan, Brooklyn, Queens, the Bronx, and Staten Island. If you buy something in a store, online with delivery to NYC, or at a restaurant, you pay 8.875 percent on the total, with some exceptions listed below.

Key Takeaways

  • NYC sales tax is 8.875 percent on most goods and services, combining state, city, and transportation district taxes.
  • Clothing and footwear under $110 per item are exempt from sales tax in New York State, including in NYC.
  • Groceries, prescription medications, and most prepared foods sold for takeout are not subject to sales tax.
  • Restaurant meals, delivery fees, and prepared foods eaten on premises are taxed at the full 8.875 percent rate.
  • Online purchases shipped to NYC are taxed the same way as in-store purchases if the seller collects sales tax.

What is and isn't taxed in NYC

Most items you buy in NYC are taxed, but some common purchases are not. Groceries—fresh fruits, vegetables, meat, dairy, and bread—are tax-free. So are prescription medications and medical devices like diabetic test strips. Non-prescription drugs and vitamins are taxed.

Clothing and footwear under $110 per item are exempt from New York State sales tax, which means they are also exempt in NYC. A single shirt under $110 is not taxed. A pair of shoes under $110 is not taxed. If an item costs $110 or more, the entire purchase is taxed. Accessories like belts, hats, and gloves are taxed regardless of price.

Prepared foods have different rules depending on how you buy them. Takeout food from a restaurant, deli, or food cart is taxed. A sandwich you buy to eat at home is taxed. A hot rotisserie chicken from a grocery store is taxed. But cold prepared foods—like a pre-made salad in a supermarket cooler—are often not taxed, though this depends on how the store classifies them.

Restaurant meals, including the tip if you add it to the card, are taxed at 8.875 percent. Delivery fees from apps like DoorDash or Uber Eats are also taxed. Alcohol—beer, wine, and liquor—is taxed at the regular rate.

How sales tax works when you order online

If you order something online and have it shipped to an NYC address, you pay NYC sales tax if the seller collects it. Large retailers like Amazon, Walmart, and Target collect and pay NYC sales tax on orders shipped to the city. Smaller sellers may or may not collect it, depending on their business structure and where they are located.

You are responsible for paying the tax either way—either the seller collects it at checkout, or you may owe it when you file your taxes (though most people do not track this). The safest assumption is that if a major retailer does not show tax at checkout, it will be added before the final charge.

Digital goods—ebooks, software, streaming subscriptions, and apps—are generally not taxed in New York, though this rule has exceptions and changes. If you are unsure whether a specific digital purchase should be taxed, the New York Department of Taxation and Finance website has detailed guidance.

Sales tax on services in NYC

Most services are not taxed in New York City. Haircuts, dry cleaning, car repairs, plumbing, and home renovation work are not subject to sales tax. However, some services are taxed. Parking garage fees are taxed. Hotel rooms are taxed (at a different rate—14.75 percent in Manhattan). Certain telecommunications services are taxed.

The rule is narrow: if you are paying for a service rather than a physical product, it usually is not taxed. But there are enough exceptions that if you are unsure about a specific service, it is worth asking the business or checking the Department of Taxation and Finance.

How to verify the tax rate on a receipt

When you buy something in a store, the receipt should show the subtotal, the tax amount, and the total. You can verify the math by multiplying the subtotal by 0.08875. For example, a $100 purchase should have $8.88 in tax (rounded), for a total of $108.88.

If the tax shown is different, it may be because the item is exempt (like clothing under $110) or because the business made an error. If you notice a consistent problem, you can report it to the New York Department of Taxation and Finance, though for a single receipt, contacting the store directly is usually faster.

Sales tax on vehicle purchases and registration

When you buy a car in New York, you pay sales tax on the purchase price. The rate is 8.875 percent in NYC, though it varies slightly outside the city. You pay this tax when you register the vehicle with the Department of Motor Vehicles, not at the dealership.

If you buy a used car from a private seller, you still owe sales tax on the sale price when you register it. The DMV collects this at registration time. Trade-in value does not reduce the taxable amount—you pay tax on the full purchase price.

Frequently Asked Questions

Do I pay sales tax on clothes if I buy them online and have them shipped to NYC?

Yes, if the clothing item costs less than $110 and is shipped to an NYC address, it is not taxed—the same rule applies online as in stores. If the item costs $110 or more, the entire purchase is taxed at 8.875 percent, even if ordered online.

Is there sales tax on coffee or drinks from a café?

Yes. Hot beverages and cold drinks sold for when ready consumption are taxed at 8.875 percent. This includes coffee, tea, soda, juice, and bottled water bought at a café, deli, or restaurant. Groceries you buy to take home—like a bottle of juice from a supermarket shelf—are not taxed.

What if a store charges me the wrong sales tax?

If you are overcharged, ask the store to correct it on the spot. If they refuse or if it is a recurring problem, you can contact the New York Department of Taxation and Finance to report it. For a single transaction, the store manager is usually the fastest way to resolve it.

Do I owe sales tax on items I buy outside NYC and bring home?

No. You pay the sales tax rate where the purchase is made. If you buy something in New Jersey (which has a lower rate) and bring it to NYC, you do not owe additional NYC tax. The tax you paid at purchase is final.

Is there sales tax on gym memberships or fitness classes?

No. Gym memberships and fitness classes are services and are not subject to sales tax in New York. However, if you buy fitness equipment or apparel at the gym, those items are taxed.