Filing New York Tax Law

The basics and fundamentals of understanding New York State tax law when ready to file taxes. Over five income brackets, New York's state income tax rates is in the vicinity of 4% to 6.85%.

New York Tax

Personal Income Tax

New York collects state income taxes with the help of a progressive, five-bracket system. These are the details for single taxpayers :

• You need to pay 4% on the first $8,000 of taxable income.
• You need to pay 4.5% if your taxable income is between $8,001 and $11,000.
• You need to pay 5.25% for taxable income between $11,001 and $13,000.
• You need to pay 5.9% for taxable income between $13,001 and $20,000.
• You need to pay 6.85% for taxable income of $20,001 and above.

The rates remain the same for married persons filing joint returns with the income brackets doubled. According to media reports, there is an increase of around 30% in the state's earned income credit. The credit helps taxpayers offset enhances in Social Security taxes. Furthermore, it lowers taxes owed and often gives a refund to filers who do not owe any tax.

Sales Tax

• The New York state tax rate dipped to 4% after the expiration of the additional 0.25% sales and use tax rate on June 1, 2005.
• Local rates in New York vary. It is not much of a surprise that combined sales tax rate in New York is lot more than other areas.

Personal and Real Estate Property Tax

• Real estate property in the state of New York is taxed on the basis of property value. Villages, cities and counties raise money with the help of real estate property tax to pay for local services. How much property tax you need to pay is evaluated on the basis of property's taxable assessment. In some cases, tax rates of the jurisdictions in which your property is situated are also taken into account.
• According to New York State law, every property in the municipalities is judged at a uniform percentage of value. Generally speaking, this can be 10%, 20%, 60% or any other percentage that does not cross 100%.
• As a resident of New York, you can qualify for the Real Property Tax Credit by filing Form IT-214.

Inheritance and Estate Tax

• There is no inheritance tax in the state of New York.
• New York estate tax liability is normally more than the limit set for federal credit state death taxes.

New York Online Tax Center

If you want to view and pay tax bills, New York Online Tax Center can help you by allowing you to view estimated taxes and upload wage reporting.