New York – Purchaser’s Obligations To Pay Use Tax Questions And Answers (March 2014)

SALT Report 3295 – The New York Department of Taxation and Finance released a set of questions and answers intended to inform non-business taxpayers of their obligation to pay use tax.  New York provides their answers to the following questions:

1.   When must you pay New York State and local sales or use tax directly to the Tax Department?

2.   Who is a New York State resident for sales and use tax purposes? Can you be a resident  of more than one locality for sales and use tax purposes?

3.   What are some examples of when you must pay tax directly to the Tax Department?

4.   What tangible personal property and services are subject to sales and use taxes?

5.   What price do you use to determine the amount of tax due?

6.   What rate do you use to compute the tax?

7.   Are there special rules that apply to paying tax on motor vehicles, trailers, or vessels (boats)?

8.  How do you pay tax if your business is required to be registered for sales tax purposes?

9.   If you are filing a New York State income tax return, when and how do you, as an individual, estate, or trust, pay the tax to the Tax Department?

10.  When and how do you, as an individual, estate, or trust, pay the tax to the Tax Department  if you are not filing a New York State income tax return?

11.  When and how does a corporation, partnership, LLC, or LLP pay the tax to the Tax Department?

12.  Do you get a credit for sales or use tax paid to another state, to a local jurisdiction in another state, or to another locality in New York State?

13.  What happens if you don’t pay the tax due?

For Further Information:

New York Use Tax Publication 774 (March 2014)