Senate Bill S4574

                                BILL NUMBER:S4574

TITLE OF BILL:  An act to amend the tax law, in relation to sales tax
on clothing and footwear in cities with a population of one million or
more

PURPOSE: Relates to exempting clothing and footwear sold in New York
City from all sales taxes.

SUMMARY OF PROVISIONS:

Section 1. Paragraph 30 of subsection (a) of section 1115 of the tax
law, as amended by section 1 of part GG of chapter 57 of the laws of
2010, is amended to read as follows:

30) Clothing and footwear for which the receipt or consideration given
or contracted to be given is less than one hundred ten dollars per
article of clothing, per pair of shoes or other articles of footwear
or per item used or consumed to make or repair such clothing and which
becomes a.physical component part of such clothing, provided, however,
that in a city with a population of one million or more all clothing
and footwear and items used or consumed to make or repair such
clothing and which becomes a physical component part of such clothing
regardless of cost shall be exempt from the taxes imposed under
section one thousand one hundred five and one thousand one hundred ten
of this article.
              

§ 2. Subdivision (a) of section 11-2006 of the administrative code of
the city of New York is amended by adding a new paragraph 16 to read
as follows:

(16) All clothing and footwear and items used or consumed to make or
repair such clothing and which become a physical component part of
such clothing.

JUSTIFICATION: If we were to take off sales taxes on clothing and
footwear, we would be able to bring more consumer spending to the
state of New York, instead of our neighboring states.

LEGISLATIVE HISTORY: 2012: S.4808- Referred to Investigations/A.5788
Referred to Ways and Means 2011: S.4808- Referred to
Investigations/A.5788 Referred to Ways and Means 2010: S.0813-
Referred to Investigations/A.3527 Held for consideration in Ways and
Means 2008: S.6959 - Referred to Investigations/A.7581 - Referred to
Ways & Means 2007: A.7561 - Referred to Ways & Means 2006: A.5908
(Ignizio) Referred to Ways and Means.  01/15/13 REFERRED TO
INVESTIGATIONS AND GOVERNMENT OPERATIONS 01/08/14 REFERRED TO
INVESTIGATIONS AND GOVERNMENT OPERATIONS

FISCAL IMPLICATIONS: To be determined.

EFFECTIVE DATE: This act shall take effect the first of January next
succeeding the date on which it shall have become a law.