New York's new sales tax bond explained

Author: Zoe Thomas | Published: 3 Oct 2013
  • A new statute enacted in this year’s state budget plan will allow New York to issue a $1 billion sales tax bonds for the first time in 18 years;
  • The offering is part of a plan by the state to consolidate the type of bond offerings to high rated, more attractive issuances with a lower cost to the state;
  • The bonds have received a AAA rating from S&P and AA outlook positive from Fitch.


New York state will issue its first sales tax bond in 18 years under a new statute enacted in this year’s state budget on October 17th. Their reintroduction forms part of the state’s bond consolidation programme.

The new structure will be similar to New York’s person income tax (PIT) bond,...