2010 New York Code
TAX - Tax
Article 28 - SALES AND COMPENSATING USE TAXES
Part 2 - (1104 - 1112) IMPOSITION OF TAXES
1105 - Imposition of sales tax.

§  1105.  Imposition  of  sales tax. On and after June first, nineteen
  hundred seventy-one, there is hereby imposed and there shall be  paid  a
  tax of four percent upon:
    (a) The receipts from every retail sale of tangible personal property,
  except as otherwise provided in this article.
    (b)  (1) The receipts from every sale, other than sales for resale, of
  the following: (A) gas, electricity, refrigeration and steam,  and  gas,
  electric,  refrigeration  and  steam  service  of  whatever  nature; (B)
  telephony and telegraphy and telephone and telegraph service of whatever
  nature except interstate and international telephony and telegraphy  and
  telephone  and  telegraph  service  and  except  any  telecommunications
  service the receipts from the sale of which are  subject  to  tax  under
  paragraph  two  of  this subdivision; (C) a telephone answering service;
  and (D) a prepaid telephone calling service.
    (2) The receipts from every sale of mobile telecommunications  service
  provided  by  a home service provider, other than sales for resale, that
  are voice services,  or  any  other  services  that  are  taxable  under
  subparagraph  (B) of paragraph one of this subdivision, sold for a fixed
  periodic charge (not separately stated), whether or not sold with  other
  services.
    (3)  The  tax  imposed  pursuant  to  this  subdivision  is imposed on
  receipts from charges for intrastate mobile  telecommunications  service
  of  whatever  nature  in  any  state  if  the  mobile telecommunications
  customer's place of primary use is in this state.
    (4) (A) For the purpose of subparagraph (B) of paragraph one  of  this
  subdivision,  receipts  from  the sale of telephony or telephone service
  constituting the actual delivery of telephony or telephone service under
  a prepaid telephone calling service (for instance, when the  receipt  is
  represented  by a debit to a prepaid account) shall be excluded from the
  receipts subject to tax under such subparagraph; and (B) for purposes of
  subparagraph (B) of paragraph one and paragraph two of this subdivision,
  a particular sale of telephony or telephone service  to  a  vendor  that
  resells  such telephony or telephone service as a component of a prepaid
  telephone calling service shall be deemed a sale for resale of telephony
  or telegraph service.
    (c) The receipts from every sale, except for resale, of the  following
  services:
    (1)   The  furnishing  of  information  by  printed,  mimeographed  or
  multigraphed matter or by duplicating written or printed matter  in  any
  other  manner,  including  the  services  of  collecting,  compiling  or
  analyzing information of any  kind  or  nature  and  furnishing  reports
  thereof  to  other  persons, but excluding the furnishing of information
  which is personal or individual in nature and which is not or may not be
  substantially incorporated in reports furnished to  other  persons,  and
  excluding  the services of advertising or other agents, or other persons
  acting in a representative capacity, and information  services  used  by
  newspapers,  radio  broadcasters  and  television  broadcasters  in  the
  collection and  dissemination  of  news,  and  excluding  meteorological
  services.
    (2)   Producing,   fabricating,  processing,  printing  or  imprinting
  tangible personal property, performed  for  a  person  who  directly  or
  indirectly  furnishes  the  tangible personal property, not purchased by
  him for resale, upon which services are performed.
    (3) Installing tangible personal property, excluding a mobile home, or
  maintaining,  servicing  or  repairing   tangible   personal   property,
  including  a  mobile  home,  not  held for sale in the regular course of
  business, whether or not the services are performed directly or by means
  of coin-operated equipment or by any other means, and whether or not any

tangible personal property  is  transferred  in  conjunction  therewith,
  except:
    (i) such services rendered by an individual who is engaged directly by
  a  private home owner or lessee in or about his residence and who is not
  in a regular trade or business offering his services to the public; and
    (ii) any receipts from laundering, dry-cleaning,  tailoring,  weaving,
  pressing, shoe repairing and shoe shining; and
    (iii)  for  installing property which, when installed, will constitute
  an addition or capital improvement to real property, property  or  land,
  as  the  terms  real  property, property or land are defined in the real
  property tax  law  as  such  term  capital  improvement  is  defined  in
  paragraph  nine of subdivision (b) of section eleven hundred one of this
  chapter; and
    (iv) such services rendered with respect  to  commercial  vessels  and
  property  used  by  or  purchased  for  the use of such vessels, as such
  vessels and property are specified in paragraph eight of subdivision (a)
  of section eleven hundred fifteen of this article; and
    (v) such  services  rendered  with  respect  to  commercial  aircraft,
  machinery  or equipment and property used by or purchased for the use of
  such aircraft as such aircraft, machinery or equipment, and property are
  specified in paragraph twenty-one of subdivision (a) of  section  eleven
  hundred fifteen of this article; and
    (vi) such services rendered with respect to tangible personal property
  for  use  or consumption predominantly either in the production for sale
  of tangible personal property  by  farming  or  in  a  commercial  horse
  boarding  operation,  or  in both, as such tangible personal property is
  specified in paragraph six of subdivision (a) of section eleven  hundred
  fifteen of this article.
    (vii)  such  services  rendered  with  respect  to fishing vessels and
  property used by or purchased for  such  vessels  as  such  vessels  are
  specified  in paragraph twenty-four of subdivision (a) of section eleven
  hundred fifteen of this article.
    (viii) such services rendered with respect to railroad  rolling  stock
  primarily  engaged  in  carrying  freight  in  intrastate, interstate or
  foreign commerce, but not  including  any  charge  for  parts  or  other
  tangible  personal  property whether such property has become a physical
  component part of the property upon which the services are performed  or
  has  been  transferred  to  the purchaser of the services in conjunction
  with the performance of the services subject to the tax.
    (ix) such services rendered with respect to tangible property used  or
  consumed directly and predominantly in the production for sale of gas or
  oil  by  manufacturing,  processing,  generating,  assembling, refining,
  mining, or extracting.
    (x) such services rendered  with  respect  to  property  described  in
  paragraph  twelve-a of subdivision (a) of section eleven hundred fifteen
  of this article.
    * (xi) Such services rendered with respect to  property  described  in
  paragraph twelve-b of section eleven hundred fifteen of this article.
    * NB Expired September 1, 2003
    Provided,  however,  that  nothing  contained  in this paragraph three
  shall be construed to exclude from tax under  this  paragraph  or  under
  subdivision  (b) of this section any charge, made by a person furnishing
  service subject to tax  under  subdivision  (b)  of  this  section,  for
  installing  property  at  the  premises of a purchaser of such a taxable
  service for use in connection with such service.
    (4) Storing all tangible personal property not held for  sale  in  the
  regular  course  of  business  and  the  rental of safe deposit boxes or
  similar space.

(5) Maintaining, servicing or repairing  real  property,  property  or
  land,  as  such  terms are defined in the real property tax law, whether
  the services are performed in or outside of a building, as distinguished
  from adding to or improving such real property, property or land,  by  a
  capital  improvement  as  such  term  capital  improvement is defined in
  paragraph nine of subdivision (b) of section eleven hundred one of  this
  article, but excluding (i) services rendered by an individual who is not
  in a regular trade or business offering his services to the public, (ii)
  services  rendered  directly  with respect to real property, property or
  land used or consumed directly and predominantly in the  production  for
  sale of gas or oil by manufacturing, processing, generating, assembling,
  refining, mining, or extracting, (iii) services rendered with respect to
  real property, property or land used or consumed predominantly either in
  the production of tangible personal property, for sale, by farming or in
  a  commercial  horse boarding operation, or in both and (iv) services of
  removal of waste material  from  a  facility  regulated  as  a  transfer
  station or construction and demolition debris processing facility by the
  department  of  environmental  conservation,  provided  that  the  waste
  material to be removed was not generated by the facility.
    (6) Providing parking, garaging  or  storing  for  motor  vehicles  by
  persons  operating  a  garage  (other  than  a  garage  which is part of
  premises occupied solely as a  private  one  or  two  family  dwelling),
  parking  lot  or  other  place of business engaged in providing parking,
  garaging or storing for motor vehicles provided, however, this paragraph
  shall not apply to such  facilities  owned  and  operated  by  a  public
  corporation, as defined by section sixty-six of the general construction
  law, other than a public benefit corporation, as defined by such section
  sixty-six,  created  by  interstate  compact  or  at least half of whose
  members are appointed by the governor, or any agency or  instrumentality
  of  a  municipal  corporation or district corporation as defined by such
  section sixty-six. Provided, however, receipts for such services paid to
  a homeowner's association by its members or receipts paid by members  of
  a  homeowner's association to a person leasing the parking facility from
  the homeowner's association shall not be subject to the tax  imposed  by
  this   paragraph.   For   purposes  of  this  paragraph,  a  homeowner's
  association is  an  association  (including  a  cooperative  housing  or
  apartment   corporation)  (i)  the  membership  of  which  is  comprised
  exclusively of  owners  or  residents  of  residential  dwelling  units,
  including  owners  of units in a condominium, and including shareholders
  in a cooperative housing or apartment corporation, where such units  are
  located  in a defined geographical area such as a housing development or
  subdivision and (ii) which owns or operates a  garage,  parking  lot  or
  other  place  of  business  engaged  in  providing  parking, garaging or
  storing for motor vehicles located in such area for use (whether or  not
  exclusive) by such owners or residents.
    (7)  Interior  decorating  and  designing services, (whether or not in
  conjunction with the sale of tangible personal property), by  whomsoever
  performed,  including  interior  decorators and designers, architects or
  engineers;  notwithstanding  the  foregoing,  such  services  shall  not
  include  services  which  consist  of  the  practice of architecture, as
  defined in section seventy-three hundred one of the  education  law,  or
  the  practice  of engineering, as defined in section seventy-two hundred
  one of the education law, if the services are performed by an  architect
  or engineer having a license or permit under the education law.
    (8)  Protective and detective services, including, but not limited to,
  all services provided by or through alarm or protective systems of every
  nature, including, but not  limited  to,  protection  against  burglary,
  theft,  fire, water damage or any malfunction of industrial processes or

any other malfunction of or damage to property  or  injury  to  persons,
  detective  agencies, armored car services and guard, patrol and watchman
  services of every nature other than the performance of such services  by
  a  port  watchman  licensed  by  the  waterfront  commission of New York
  harbor, whether or not tangible  personal  property  is  transferred  in
  conjunction therewith.
    (9)  (i) The furnishing or provision of an entertainment service or of
  an information service (but not an information service  subject  to  tax
  under  paragraph one of this subdivision), which is furnished, provided,
  or delivered by  means  of  telephony  or  telegraphy  or  telephone  or
  telegraph service (whether intrastate or interstate) of whatever nature,
  such  as  entertainment  or information services provided through 800 or
  900 numbers or mass announcement  services  or  interactive  information
  network  services.  Provided,  however,  that  in no event (i) shall the
  furnishing or provision of an information service be  taxed  under  this
  paragraph  unless  it  would  otherwise  be  subject  to  taxation under
  paragraph one of this subdivision  if  it  were  furnished  by  printed,
  mimeographed or multigraphed matter or by duplicating written or printed
  matter  in  any  other  manner  nor  (ii)  shall  the provision of cable
  television service to customers be taxed under this paragraph.
    (ii) Notwithstanding the rate  and  date  set  forth  in  the  opening
  undesignated  paragraph  of this section and notwithstanding the opening
  undesignated paragraph of  this  subdivision,  on  and  after  September
  first,  nineteen  hundred  ninety-three,  in  addition  to any other tax
  imposed under this section, and in addition to  any  other  tax  or  fee
  imposed  under  any  other provision of law, there is hereby imposed and
  there shall be paid an additional tax at the rate of five  percent  upon
  the  receipts  which  are  subject to tax under subparagraph (i) of this
  paragraph  on  the  furnishing  or  provision  of  an  entertainment  or
  information  service which is received by the customer exclusively in an
  aural manner. Such additional tax shall not be imposed by section eleven
  hundred seven, eleven hundred eight  or  eleven  hundred  nine  of  this
  article  and  shall  not  be  included  among the taxes authorized to be
  imposed pursuant  to  the  authority  of  article  twenty-nine  of  this
  chapter.
    Wages,  salaries  and  other  compensation  paid  by an employer to an
  employee for  performing  as  an  employee  the  services  described  in
  paragraphs  (1)  through  (9)  of  this subdivision (c) are not receipts
  subject to the taxes imposed under such subdivision.
    (10) Transportation service, whether  or  not  any  tangible  personal
  property  is  transferred  in  conjunction  therewith, and regardless of
  whether the charge is paid in this state or out of state so long as  the
  service is provided in this state.
    (d)  (i) The receipts from every sale of beer, wine or other alcoholic
  beverages or any other drink of any nature, or from every sale  of  food
  and  drink  of  any  nature  or  of  food  alone,  when  sold  in  or by
  restaurants, taverns or  other  establishments  in  this  state,  or  by
  caterers,  including  in the amount of such receipts any cover, minimum,
  entertainment or other charge made to patrons or customers (except those
  receipts taxed pursuant to subdivision (f) of this section):
    (1) in all instances where the sale is for consumption on the premises
  where sold;
    (2) in those instances where the vendor or any person  whose  services
  are  arranged for by the vendor, after the delivery of the food or drink
  by or on behalf of the vendor for consumption off the  premises  of  the
  vendor,  serves  or  assists  in serving, cooks, heats or provides other
  services with respect to the food or drink; and

(3) in those instances where  the  sale  is  made  through  a  vending
  machine that is activated by use of coin, currency, credit card or debit
  card  (except  the  sale of drinks in a heated state made through such a
  vending machine) or is for consumption off the premises of  the  vendor,
  except  where food (other than sandwiches) or drink or both are (A) sold
  in an  unheated  state  and,  (B)  are  of  a  type  commonly  sold  for
  consumption  off  the  premises  and  in  the  same  form and condition,
  quantities and packaging, in establishments which are food stores  other
  than those principally engaged in selling foods prepared and ready to be
  eaten.
    (ii) The tax imposed by this subdivision shall not apply to:
    (A)  food  or drink which is sold to an air line for consumption while
  in flight;
    (B) food or drink sold to a student of a nursery school, kindergarten,
  elementary or secondary school at a restaurant or cafeteria  located  on
  the  premises of such a school, or food or drink, other than beer, wine,
  or other alcoholic beverages, sold at  a  restaurant,  tavern  or  other
  establishment  located  on  the  premises  of a college, university or a
  school  (other  than  a  nursery  school,  kindergarten,  elementary  or
  secondary  school) to a student enrolled therein who purchases such food
  or drink under a contractual arrangement whereby the  student  does  not
  pay  cash  at  the  time  he  is served, provided the school, college or
  university described in this  subparagraph  is  operated  by  an  exempt
  organization  described  in  subdivision  (a)  of section eleven hundred
  sixteen, or is created, incorporated, registered,  or  licensed  by  the
  state legislature or pursuant to the education law or the regulations of
  the  commissioner of education, or is incorporated by the regents of the
  university of the State of New York or with their consent or the consent
  of the commissioner of education as  provided  in  section  two  hundred
  sixteen of the education law; and
    (e)  (1) The rent for every occupancy of a room or rooms in a hotel in
  this state, except that  the  tax  shall  not  be  imposed  upon  (i)  a
  permanent  resident, or (ii) where the rent is not more than at the rate
  of two dollars per day.
    (2) When occupancy is  provided,  for  a  single  consideration,  with
  property,  services, amusement charges, or any other items, the separate
  sale of which is not subject to  tax  under  this  article,  the  entire
  consideration  shall  be  treated as rent subject to tax under paragraph
  one of this subdivision; provided, however, that where the amount of the
  rent for occupancy is stated separately from the price of such property,
  services, amusement charges, or other items, on any sales slip, invoice,
  receipt, or other  statement  given  the  occupant,  and  such  rent  is
  reasonable  in  relation  to  the  value  of  such  property,  services,
  amusement charges or other items, only such separately stated rent  will
  be subject to tax under paragraph one of this subdivision.
    (f)  (1) Any admission charge where such admission charge is in excess
  of ten cents to or for the use of any place of amusement in  the  state,
  except  charges  for  admission  to  race  tracks,  boxing,  sparring or
  wrestling matches or exhibitions which charges are taxed under any other
  law of this state, or dramatic or musical  arts  performances,  or  live
  circus performances, or motion picture theaters, and except charges to a
  patron  for  admission to, or use of, facilities for sporting activities
  in which such patron is to be a participant, such as bowling alleys  and
  swimming pools. For any person having the permanent use or possession of
  a  box  or seat or a lease or a license, other than a season ticket, for
  the use of a box or seat at a place of amusement, the tax shall be  upon
  the  amount for which a similar box or seat is sold for each performance
  or exhibition at which the box or  seat  is  used  or  reserved  by  the

holder, licensee or lessee, and shall be paid by the holder, licensee or
  lessee.
    (2)  (i) The dues paid to any social or athletic club in this state if
  the dues of an active annual member, exclusive of  the  initiation  fee,
  are  in excess of ten dollars per year, and on the initiation fee alone,
  regardless of the amount of dues, if such initiation fee is in excess of
  ten dollars. Where the tax  on  dues  applies  to  any  such  social  or
  athletic club, the tax shall be paid by all members, other than honorary
  members,  thereof  regardless  of the amount of their dues, and shall be
  paid on all dues or initiation fees for a period commencing on or  after
  August  first,  nineteen  hundred  sixty-five.  In  the  case  of a life
  membership, the tax shall be upon the amount  paid  as  life  membership
  dues,  however,  a life member, other than an honorary member, paying an
  annual sales tax, based on the dues of an active  annual  member,  shall
  continue  such payments until the total amount of such tax paid is equal
  to the amount of tax that would have otherwise been due had the tax been
  imposed at the time such paid life membership has been purchased and  at
  the then applicable rate.
    (ii)  Dues  and  initiation  fees  paid  to the following shall not be
  subject to the tax imposed by this paragraph:
    (A) A fraternal society, order  or  association  operating  under  the
  lodge system;
    (B) Any fraternal association of students of a college or university;
    (C)  A  homeowners  association.  For purposes of this subparagraph, a
  homeowners  association  is  an  association  (including  a  cooperative
  housing  or  apartment  corporation)  (I)  the  membership  of  which is
  comprised exclusively of owners or  residents  of  residential  dwelling
  units,  including  owners  of  units  in  a  condominium,  and including
  shareholders in a cooperative housing or  apartment  corporation,  where
  such  units are located in a defined geographical area such as a housing
  development or subdivision and (II) which operates  social  or  athletic
  facilities  located  in  such area for use (whether or not exclusive) by
  such owners or residents.
    (3) The amount paid as charges of a  roof  garden,  cabaret  or  other
  similar place in the state.


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