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How New York Handles Tax on Shipping

How New York handles tax on shipping: shipping follows the items, taxable when taxable goods ship and exempt when all are exempt; handling is always taxable.
Updated last year

In New York, shipping charges follow the taxability of the items shipped.

General Rule

Taxable: Shipping is taxable if taxable items are shipped.

Exempt: Shipping is exempt if all items in the shipment are exempt.

Handling Charges

Handling and combined “shipping & handling” fees are always taxable.

Best Practices for Compliance

  • Separate delivery charges clearly on invoices.
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  • Review mixed orders carefully — any taxable goods make the shipping taxable.
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Example

  1. Shipping taxable furniture for $1,000 with $50 delivery → $50 is taxable.
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  2. Shipping only exempt food products with $50 delivery → $50 is exempt.
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Stay Compliant with Kintsugi

New York’s shipping rules are simple but require careful handling of mixed shipments. Kintsugi Intelligence applies the correct taxability automatically.

⚖️ Important Notice: Sales tax regulations are subject to change without prior notice. For guidance tailored to your business, please consult a qualified tax advisor.

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