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N.Y. Shoppers Welcome Back Tax Break On Clothes, Shoes

NEW YORK (CBS 2) -- The price tags haven't changed, but customers in New York began paying less at the cash register Friday.

New York State rolled back and zeroed out its 4 percent sales tax on clothing and shoes that cost less than $55.

"That's amazing. That's great," Sarah Cook, of Chelsea, told CBS 2's Kathryn Brown.

"I think I'm gonna be really late cause I'm gonna go shopping now," joked Lavonne Anthony of Kinsington. "Oh yes, definitely I'll take advantage of that for sure."

It's good news for shoppers and retailers. Sammy Salem, who manages Shoemania in Union Square, said his business suffered since October when the state temporarily suspended the popular tax break program to help close a massive budget gap.

"Even when they come to the register they always say 'Why should I pay for this amount of money when I go to New Jersey and pay less amount for taxes'?" Salem said.

The Big Apple was following the state's lead, meaning for shoppers, the price you see is the price you pay. In many other areas however, including Westchester County, local taxes totaling 3 or 4 percent will still be added to the total.

"I think things should just be across the board for everybody. It should be equal for everybody," said Amy Martino of Cranford, N.J.

"Yeah I think it's a little confusing but it's their right to do it and I think the public will go along with it if it's for the betterment of the good," Cook said.

Until last October, clothes and shoes under $110 were exempt from the tax. Lawmakers said they'll raise the limit back to $110 next year.

Are you in favor of the tax holiday? Let us know below...

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