How to Set New York Luxury Tax in Magento

My client sells shoes and clothing in NYC, and their law says any piece of clothing of price $110 and above should be charged 8.825 tax. Now, since Magento doesn’t support tax thresholds, we were puzzled on how to tackle this one, especially since the functionality itself was not in the budget. So we created a shopping cart price rule that would apply 8.825 discount to all the items whose price is below $110, if the shipping state was New York. We named the rule “Luxury task refund”. That will also cover your discounted products
Here are the screenshots of catalog rule: