News

NEW YORK, NY July 26, 2005 —Shoppers will get some relief from the city's sales tax on clothes and shoes just in time for the back-to-school rush. Items under $110 will be exempt from city sales tax under a law signed yestereday by Governor Pataki.

REPORTER: State Senator Frank Padovan of Queens backed the legislation. He says the removal of the four percent tax will benefit those on low incomes.

PADOVAN: When we provide this kind of relief to that population, we're doing a very good thing. Sales taxes are basically regressive taxes because they hurt people on fixed incomes more than anyone else.

REPORTER: The tax cut comes into effect on September First.