Items That Are Tax-Free in New York
New York does not charge sales tax on groceries, prescription medications, medical equipment, and most clothing under $110. The state also exempts newspapers, magazines, and certain prepared foods sold cold. What matters most: the item category and sometimes the price or how it's sold. A hot sandwich from a deli counter is taxed; the same sandwich bought cold from a grocery shelf is not.
The exemptions exist because New York law treats certain goods as necessities rather than luxuries. This means your receipt will show zero tax on a gallon of milk, a bottle of insulin, or a pair of jeans priced at $85. But the same jeans at $115 will be taxed, because New York taxes clothing items over $110.
Key Takeaways
- Groceries — milk, bread, vegetables, eggs, meat — are never taxed in New York, whether you buy them at a supermarket or a bodega.
- Prescription drugs and certain medical devices like diabetic test strips and hearing aids are tax-free, but over-the-counter medicines like aspirin and cold medicine are taxed.
- Clothing and footwear under $110 per item are exempt; anything priced at $110 or more is taxed on the full amount.
- Hot or prepared food eaten on-site or taken out is taxed; cold prepared food and raw ingredients are not.
- Newspapers, magazines, and books are tax-free, but digital subscriptions and e-books are taxed.
Groceries and Food Items
Food you cook at home is tax-free. This includes raw meat, poultry, fish, fresh produce, dairy, eggs, bread, cereal, frozen vegetables, canned goods, and condiments. The rule is simple: if it's an ingredient or an uncooked food item, New York does not tax it.
Prepared foods are taxed differently depending on how they're sold. A rotisserie chicken from the grocery store hot case is taxed. A raw chicken from the meat counter is not. A sandwich made to order at a deli counter is taxed. A pre-made sandwich sitting in a cold case is not. Coffee and hot beverages are always taxed. Cold juice and milk are not.
Candy, soda, and energy drinks are taxed in New York, even though they're sold in grocery stores. The state treats these as non-essential items. Bottled water is not taxed. Alcohol and tobacco are taxed but under separate excise taxes, not sales tax.
Prescription Medications and Medical Equipment
Prescription drugs filled at a pharmacy are tax-free. This includes insulin, antibiotics, blood pressure medications, and any other drug that requires a doctor's prescription. The pharmacist does not charge sales tax on the medication itself.
Over-the-counter medicines are taxed. Aspirin, cold medicine, allergy tablets, and pain relievers like ibuprofen are subject to sales tax. The difference is the prescription requirement — if a doctor had to write it, it's exempt; if you can buy it off the shelf without a prescription, it's taxed.
Medical equipment is partially exempt. Diabetic test strips, lancets, and glucose monitors are tax-free. Hearing aids and certain mobility devices are tax-free. Crutches, walkers, and wheelchairs are tax-free. But items like bandages, thermometers, and heating pads are taxed because they're classified as general health supplies rather than medical equipment.
Clothing and Footwear Under $110
New York taxes clothing and shoes, but only if the item costs $110 or more. A shirt priced at $85 is tax-free. The same shirt priced at $115 is taxed on the full $115. This is a per-item rule, not a total-purchase rule — if you buy five $85 shirts, none are taxed. If you buy one $150 coat, the entire coat is taxed.
The $110 threshold applies to the price tag before any discount. If a $120 jacket is on sale for $95, you pay no tax because the sale price is under $110. If it's on sale for $115, you pay tax on the $115 sale price.
Accessories like belts, scarves, hats, and gloves are taxed regardless of price. Socks and hosiery under $110 are tax-free. Work uniforms and protective clothing like steel-toed boots are tax-free if they're required for a specific job and not suitable for everyday wear.
Books, Newspapers, and Printed Materials
Printed books, newspapers, and magazines are tax-free in New York. This includes textbooks, novels, reference books, and comic books sold in physical form. A newspaper subscription delivered to your door is not taxed. A magazine you buy at a newsstand is not taxed.
Digital versions are taxed. An e-book, a digital newspaper subscription, or an online magazine is subject to sales tax. The difference is the format — paper is exempt, digital is not. This applies even if you're buying the same content in both forms.
Items That Are Always Taxed
Household supplies like paper towels, toilet paper, soap, and cleaning products are taxed. Personal care items like shampoo, toothpaste, and deodorant are taxed. Pet food and pet supplies are taxed. Gasoline is taxed. Restaurant meals and takeout are taxed, with the exception of cold prepared foods.
Furniture, appliances, and electronics are taxed. Tools and hardware are taxed. Toys and games are taxed. Gifts and gift cards are taxed at the point of purchase or redemption. Haircuts and services are taxed. Gym memberships and entertainment are taxed.
How to Know What's Taxed at Checkout
Your receipt will show the tax amount next to each item or as a line total. If an item is exempt, it will either show $0.00 tax or not appear on the tax line at all. The cashier's register is programmed with New York's tax rules, so the system determines what is and isn't taxed based on the item code.
If you're unsure whether something will be taxed, ask the cashier before you check out. They can tell you whether the item is exempt. If you see tax charged on something you believe should be exempt — for example, tax on a prescription medication — ask the store to verify. Mistakes happen, and stores can issue refunds if the tax was applied incorrectly.
Frequently Asked Questions
Is baby formula taxed in New York?
No. Baby formula is classified as a grocery item and is tax-free, the same as milk or other food. Diapers and baby wipes are taxed because they're not food items.
What about vitamins and supplements?
Vitamins and supplements are taxed in New York. They're treated as general health products, not prescription medications. Only drugs that require a doctor's prescription are exempt.
If I buy a $109 shirt and a $2 belt together, do I pay tax?
Yes, but only on the belt. The shirt is under $110 so it's tax-free. The belt is an accessory and is always taxed regardless of price. Each item is taxed according to its own category and price.
Are restaurant meals taxed differently than grocery store meals?
Yes. A meal you eat at a restaurant or pick up hot is taxed. A cold prepared meal from a grocery store deli case is not taxed. The difference is temperature and preparation method, not the location where you buy it.
Is tax charged on the full price if an item is on sale?
Tax is charged on the price you actually pay, not the original price. If a $150 item is on sale for $95, tax is calculated on $95. If it's on sale for $115, tax is calculated on $115.