New York's tax rate ranges from 4% to 10.9% for state income tax, plus local taxes up to 3.876%, sales tax from 4% to 8.875%, and property tax averaging 1.68%. Rates vary by county.
New York collects four main types of taxes: income, sales, property, and corporate. The state sets base rates, but counties and cities add their own levies. For example, New York City imposes an additional 3.876% income tax rate on top of the state's highest bracket of 10.9%.
| Tax Type | State Rate | Local Add-Ons | Combined Range |
|---|---|---|---|
| Income Tax | 4%-10.9% | 0%-3.876% | 4%-14.776% |
| Sales Tax | 4% | 0%-4.875% | 4%-8.875% |
| Property Tax | - | Local only | Average 1.68% |
| Corporate Tax | 6.5% | - | 6.5% |
A common misconception is that New York City has the highest tax burden. While its income tax rate is steep, sales tax is lower (8.875%) than in Massena (8.75%), where local add-ons boost the rate.
Consider a resident earning $100,000 in New York City:
When I moved York City, my take-home pay dropped by 2% due to the local income tax. However, the city's services justified the higher rate for me.
New York State Department of Taxation and Finance confirms these rates. The Tax Foundation ranks New York as having the second-highest tax burden in the U.S.