Members of the Brooklyn Chamber of Commerce were pleased to finally witness the elimination of New York State’s tax on clothing and footwear under $110, after several years of lobbying the issue.

Effective April 1, the regressive tax is considered a boost to Brooklyn retailers who often struggle to remain competitive in a high-cost environment.

Earlier this year, the budget proposed by Governor George Pataki would have retained the sales tax, but the Assembly’s move to cut the tax will help spur the state’s economy by encouraging New Yorkers to shop locally.

“We are grateful to Assembly Speaker Sheldon Silver and Brooklyn’s delegation for making the repeal of the sales tax on clothing a part of this year’s budget,” explained Kenneth Adams, president of the Brooklyn Chamber of Commerce. “We needed to get rid of this tax and they did it. It’s a definite shot in the arm for Brooklyn retailers.”

It is estimated that New York loses about $600 million in sales each year to New Jersey, Connecticut and Pennsylvania where there is no sales tax on clothing. The elimination of the 4 percent charge levied by the state on certain purchases under $110 will mean a boost for businesses.

In 1998, New York State began experimenting with tax-free weeks. The initiatives became a success and, in 2000, the levy was permanently eliminated. The tax was reintroduced after the September 11 terrorist attacks that sent New York’s economy into a tailspin. When it was most needed, businesses and consumers pitched in to help the city’s economic recovery. The governor’s quest to extend the tax was met with loud opposition by local officials and the business community including the Brooklyn Chamber of Commerce.

Brooklyn Chamber of Commerce members thank their legislators for listening to their concerns and acting to meet the needs of New York, its business community and