Are a freelance fashion stylist's services and the clothing/props they provide for photo shoots subject to New York sales tax?

Plain-English summary

Lewis Van Arnam works as a freelance fashion stylist, coordinating the acquisition and presentation of clothing, accessories, and props for fashion photography, hired either by photographers or by the client using the photos (an ad agency or catalog company). Merchandise is mostly rented but sometimes purchased outright and permanently handed over to the client; other expenses (assistants, taxis, equipment rentals like steamers and irons) are passed through to the client too. The stylist bills a daily or project rate.

The Department split this into pieces. The stylist's core coordinating/styling service itself isn't one of New York's enumerated taxable services, so it isn't taxed on its own. But when the stylist actually TRANSFERS clothing, accessories, or props to the client (whether purchased outright or otherwise permanently handed over), that's a taxable sale of tangible personal property — the stylist needs to register as a vendor and collect tax on those items, unless the client has a valid exemption. Items the stylist uses but does NOT transfer to the client (like a steamer or iron used to prep clothing) are treated as the stylist's own tools for performing a nontaxable service — the stylist owes tax on buying or renting those, and can't buy them tax-free even though their cost gets passed through to the client.

The bundling rule applies here too: if the stylist charges one combined price covering both the (nontaxable) styling service and (taxable) merchandise, the entire charge becomes taxable — unless the styling service is separately available from the merchandise and both are separately, reasonably priced on the invoice, in which case only the merchandise charge is taxed.

What this means for you

Fashion stylists, prop stylists, and similar creative freelancers

Your core coordinating/styling fee isn't taxable on its own, but any clothing, props, or accessories you actually transfer to the client are — register as a vendor and collect tax on those, and keep tool/equipment purchases (things you use but don't hand over) on a separate taxable-to-you basis. Separately state your service fee from any merchandise charge on invoices if you want only the merchandise portion taxed.

Photographers, agencies, and catalog companies hiring stylists

Expect a mixed invoice: a nontaxable styling fee plus tax on any merchandise that's actually delivered to you — ask your stylist to itemize if you want to confirm which portion is taxed.

Accountants and tax professionals

This is a compact, reusable template for any creative-services freelancer (stylists, prop houses, set decorators) whose work mixes a nontaxable coordinating service with taxable tangible property — the resale-exclusion rule (property used to perform a nontaxable service isn't purchased for resale) is the same doctrine applied across several similar NY rulings.

Common questions

Q: Is a fashion stylist's fee subject to sales tax?
A: No — coordinating and styling services aren't among New York's enumerated taxable services.

Q: What about the clothing and props the stylist provides?
A: Items actually transferred (sold) to the client are taxable tangible personal property; items the stylist uses but keeps (like steamers or irons) are not transferred and are taxed to the stylist instead.

Q: Does combining the styling fee and merchandise into one invoice line change anything?
A: Yes — a single combined charge is fully taxable unless the service and merchandise are separately available and separately, reasonably priced.

Q: Can other stylists rely on this Advisory Opinion?
A: No. It binds the Department only for the petitioner and facts described; other stylists' arrangements should be checked against their own facts.

Citations and references

Statutes and regulations:

• Tax Law §§ 1101(b)(3), (4), (5), (6) (receipt; retail sale; sale; tangible personal property)
• Tax Law § 1105(a), (c) (retail sale; enumerated services)
• Tax Law §§ 1132(a)(1), 1134(a)(1) (collection; registration)
• 20 NYCRR 525.2(a)(3), 526.6(c)(7), 526.7(e), 527.1(b)

Prior rulings referenced:

• Jeffrey J. Coren CPA, TSB-A-98(92)S
• PricewaterhouseCoopers LLP, TSB-A-03(11)S
• Salomon & Leitgeb CPA's, LLP, TSB-A-97(44)S
• J.P. Molyneux Studio Ltd., TSB-A-96(31)S

Source

• Landing page: https://www.tax.ny.gov/pubs_and_bulls/advisory_opinions/sales_ao_2006.htm
• Opinion: https://www.tax.ny.gov/pdf/advisory_opinions/sales/a06_33s.pdf

Original ruling text

New York State Department of Taxation and Finance

TSB-A-06(33)S
Sales Tax
December 29, 2006

Office of Tax Policy Analysis
Technical Services Division
STATE OF NEW YORK
COMMISSIONER OF TAXATION AND FINANCE
ADVISORY OPINION

PETITION NO. S050510B

On May 10, 2005, the Department of Taxation and Finance received a Petition for
Advisory Opinion from Lewis Van Arnam, 881 7th Avenue, New York, New York 10019.
Petitioner, Lewis Van Arnam, submitted additional information pertaining to the Petition on
June 27, 2005.
The issue raised by Petitioner is whether services provided by a fashion stylist are subject
to sales tax.
Petitioner submitted the following facts as the basis for this Advisory Opinion.
According to Petitioner, a fashion stylist is an individual commissioned to coordinate the
acquisition and presentation of clothing, fashion accessories, props, and related merchandise for
fashion photography. The merchandise is obtained by purchase, rental, or loan depending on the
specifications of the assignment. The costs of purchasing or renting merchandise, as well as any
expense incurred for assistants, messengers, taxis, or equipment rental (such as steamer, iron and
ironing board, etc.) are passed on to the contracting client. Most of the time, the merchandise is
rented. When merchandise is purchased, it is always permanently transferred to the client. The
services of a fashion stylist are charged by a daily rate or project rate, on a freelance basis. A
fashion stylist may be hired by a photographer or the client who will use the photographs (e.g.,
an advertising agency or a direct marketing catalog agency, etc). Generally, photographic
images created are for use in magazines, catalogs, or similar advertising outlets.
Applicable law and regulations
Section 1101(b) of the Tax Law provides, in part:
When used in this article for the purposes of the taxes imposed by subdivisions
(a), (b), (c) and (d) of section eleven hundred five and by section eleven hundred ten, the
following terms shall mean:
*

*

*

(3) Receipt. The amount of the sale price of any property and the charge for any
service taxable under this article . . . and also including any charges by the vendor to the
purchaser for shipping or delivery . . . regardless of whether such charges are separately
stated in the written contract, if any, or on the bill rendered to such purchaser and

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regardless of whether such shipping or delivery . . . is provided by such vendor or a third
party. . . .
(4) Retail sale. (i) A sale of tangible personal property to any person for any
purpose, other than (A) for resale as such or as a physical component part of tangible
personal property, or (B) for use by that person in performing the services subject to tax
under paragraphs (1), (2), (3), (5), (7) and (8) of subdivision (c) of section eleven hundred
five where the property so sold becomes a physical component part of the property upon
which the services are performed or where the property so sold is later actually
transferred to the purchaser of the service in conjunction with the performance of the
service subject to tax. . . .
(5) Sale, selling or purchase. Any transfer of title or possession or both, exchange
or barter, rental, lease or license to use or consume . . . for a consideration. . . .
(6) Tangible personal property. Corporeal personal property of any nature. . . .
Section 1105(a) of the Tax Law imposes sales tax, in part, upon:
The receipts from every retail sale of tangible personal property, except as
otherwise provided in this article.
Section 1105(c) of the Tax Law imposes sales tax upon the receipts from every sale,
except for resale, of certain enumerated services.
Section 1132(a)(1) of the Tax Law provides:
Every person required to collect the tax shall collect the tax from the customer
when collecting the price, amusement charge or rent to which it applies. If the customer
is given any sales slip, invoice, receipt or other statement or memorandum of the price,
amusement charge or rent paid or payable, the tax shall be stated, charged and shown
separately on the first of such documents given to him. The tax shall be paid to the
person required to collect it as trustee for and on account to the state.
Section 1134(a)(1) of the Tax Law provides, in part:
(i) Every person required to collect any tax imposed by this article . . .
commencing business or opening a new place of business, (ii) every person purchasing or
selling tangible personal property for resale commencing business or opening a new place
of business . . . shall file with the commissioner a certificate of registration, in a form
prescribed by the commissioner, at least twenty days prior to commencing business or

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opening a new place of business or such purchasing, selling or taking of possession or
payment, whichever comes first. . . .
Section 525.2(a)(3) of the Sales and Use Tax Regulations provides:
Except as specifically provided otherwise, the sales tax is a "destination tax." The
point of delivery or point at which possession is transferred by the vendor to the
purchaser, or the purchaser’s designee, controls both the tax incidence and the tax rate.
Section 526.6(c)(7) of the Sales and Use Tax Regulations provides, in part:
Tangible personal property purchased for use in performing a service not subject
to tax is not purchased for resale.
Example 10: A shoe repairman purchases leather to be used for resoling shoes.
His purchase of the leather is not a purchase for resale, even though the leather
will be transferred to the customer in connection with the performance of the
service because the service he is performing is not taxable.
Section 526.7(e) of the Sales and Use Tax Regulations provides, in part:
Transfer of possession. (1) Except as otherwise provided in paragraph (3) of this
subdivision, a sale is taxable at the place where the tangible personal property or service
is delivered, or the point at which possession is transferred by the vendor to the purchaser
or his designee. . . .
Section 527.1(b) of the Sales and Use Tax Regulations provides, in part:
Taxable and exempt items sold as a single unit. When tangible personal property,
composed of taxable and exempt items is sold as a single unit, the tax shall be collected
on the total price.
Opinion
According to Petitioner, a fashion stylist coordinates the acquisition and presentation of
clothing, fashion accessories, props and related merchandise for fashion photography. The
stylist’s costs of purchasing or renting merchandise, as well as any expenses incurred for
assistants, messengers, taxis, etc., are passed on to the client. The services of a stylist are
charged by a daily rate or project rate. A fashion stylist may be hired by a photographer or the
client who will use the photographs (e.g., an advertising agency or a direct marketing catalog
agency).

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The service provided by a fashion stylist, as described above, is not one of the services
enumerated under section 1105(c) of the Tax Law. Therefore, such service is not subject to sales
tax. See Jeffrey J. Coren CPA, Adv Op Comm T&F, December 30, 1998, TSB-A-98(92)S.
However, Petitioner has stated that in conjunction with providing services a fashion
stylist also provides clothing, fashion accessories, props, and related merchandise, as needed to
produce the desired effect in the photographs. A fashion stylist rents many of the items to be
used for a particular assignment, but also may purchase some items. Petitioner states that any
items purchased are permanently transferred to the client. The provision of such items by a
fashion stylist to a client may be considered to be the sale of tangible personal property subject to
New York State and local sales taxes under section 1105(a) of the Tax Law. Items that are
transferred to the client or become a component part of tangible personal property transferred to
the client are considered to be a sale of tangible personal property. The sale of such items
including any expenses incurred in conjunction with the transfer of the tangible personal
property is subject to tax under section 1105(a) of the Tax Law, unless a client qualifies for an
exemption and provides the fashion stylist with the appropriate exemption document. However
when the fashion stylist delivers tangible personal property to a location outside of New York
State, the sale of such property is not subject to New York State or local sales tax regardless of
the customer’s business location. See sections 525.2(a)(3) and 526.7(e) of the Sales and Use Tax
Regulations.
A fashion stylist may make exempt purchases of tangible personal property if the
property is purchased exclusively for resale as such or as a physical component part of tangible
personal property. See section 1101(b)(4)(i) of the Tax Law. To make purchases for resale, the
fashion stylist is required to register as a vendor and to collect and remit sales tax on its sales of
taxable items. See sections 1132 and 1134 of the Tax Law.
Items that are not transferred to a client (such as irons and ironing boards to press
clothing worn by the models, etc.) are considered to be used by the fashion stylist to perform the
stylist’s required services. This is the case even though the costs of such property are passed
through to and reimbursed by a client. The purchase or rental of such items by the fashion stylist
is subject to the sales tax imposed by section 1105(a). Further, property purchased by the
fashion stylist for use in performing nontaxable services may not be purchased for resale, even
when the property will be transferred to the client in conjunction with the performance of the
service. See section 526.6(c)(7) of the Sales and Use Tax Regulations.
When tangible personal property composed of taxable and exempt items is sold as a
single unit, sales tax must be collected on the total price. See section 527.1(b) of the Sales and
Use Tax Regulations. This rule is likewise applicable to sales of taxable and exempt services
and sales of services combined with sales of tangible personal property. See
PricewaterhouseCoopers LLP, Adv Op Comm T&F, March 25, 2003, TSB-A-03(11)S; Salomon
& Leitgeb CPA’s, LLP, Adv Op Comm T&F, July 23, 1997, TSB-A-97(44)S. Therefore, when a

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fashion stylist sells clients a single unit consisting of taxable items combined with nontaxable
services, the entire amount charged to the client is taxable. If the fashion stylist’s services are
separately available apart from the tangible personal property sold by the fashion stylist and the
charges for such services and property are reasonable in relation to the value of the services and
property and separately stated on the customer invoice, the receipt for the tangible personal
property is taxable and the charges for services are not taxable. See J.P. Molyneux Studio Ltd.,
Adv Op Comm T & F, May 22, 1996, TSB-A-96(31)S.

DATED: December 29, 2006

NOTE:

/s/
Jonathan Pessen
Tax Regulations Specialist IV
Technical Services Division

The opinions expressed in Advisory Opinions are
limited to the facts set forth therein.