New York State Department of Taxation and Finance

The New York State Department of Taxation and Finance (NYSDTF) is the state agency responsible for administering tax laws, collecting taxes, and enforcing compliance for individuals and businesses in New York.

For home improvement contractors, this agency matters because it:

• Issues the Certificate of Authority, which allows contractors to collect sales tax

• Determines which home improvement work is taxable and which qualifies as a capital improvement

• Handles business sales tax filings and audits

• Enforces penalties for failing to collect, report, or remit sales tax

If you perform taxable repair or maintenance work in NYC, you interact with the Department of Taxation and Finance every time you charge sales tax, file returns, or verify whether a job qualifies as a capital improvement under state rules.