• White Papers
• Tax Links
• Articles
• Webcasts
• Case Studies
• Sales Literature

Sales Tax State Activity Update - June 2008

Location, Location, Location ~ New York Sets Tax Guidelines for Printed

Publication 831 which is effective 06/01/08, provides printers, mailers, or printer and mailers with the information necessary to collect and report the correct amount of sales tax due to New York State on printing and mailing charges.

A printer delivering printed matter to a mailer in New York State is required to collect the sales tax on the entire charge, unless the printer is furnished with proof of the portion to be mailed to persons outside New York State and the destinations of all the material to be mailed to persons in New York State. If such proof is furnished, the printer is required to collect sales tax only on the charge for that portion of the printed matter that will be mailed to persons in New York State.

A mailer or printer and mailer is required to collect the state and appropriate local sales taxes on the printing, addressing, and other taxable charges for printed matter mailed to persons in New York whether mailed from within or outside New York State.

Records must show the destinations of all material sent to persons in New York State and the portion of the material mailed to persons outside New York State. The state tax and local sales tax, at the rate in effect where delivery is made, must be collected on the entire charge if printed matter is delivered to the customer in New York State, even if the customer will subsequently send some or all of the printed matter to persons outside New York.

Alternative Method
If mailing records are not adequate to show the destinations of all the printed matter mailed to persons in New York State, the alternative method described below may be used to determine state and local sales and use taxes, provided the following conditions are met:

1. The mailing must include points throughout New York State.
   
   
2. If the mailing list includes out-of-state mailings and is compiled by geographic location, an actual count of out-of-state mailings must be made. If the list is not compiled by geographic location, a sampling technique may be used provided 10% of the list, or 5,000 mailing pieces, whichever is less, is sampled.
   
   
3. The actual number of pieces mailed to New York City must be determined. Sampling under the conditions noted in item 2 may be used. The alternative method cannot be used for printed matter upon which clerical, office typing, or computer printing operations are required to make the printed matter acceptable for the individual recipient or to accommodate the sender's usual use of such items. Thus, printed items such as invoices, statements, and items that by their content are not interchangeable with items of other recipients on the mailing list, are subject to the New York State sales tax at the point from which the actual mailing service occurs.
   
   

The full publication can be viewed on the New York State Department of Taxation & Finance Website. (PDF)

---

Subscribe to CyberTax News and receive the latest indirect tax news, including rate changes, rule updates, compliance issues, and more, delivered directly to your email.

Email Address