Dam! According to the table http://www.irs.gov/pub/irs-pdf/p600.pdf New York isn't on the list of states! But I did see this for those that do quality... "If you itemize your taxes, you may choose to deduct state and local sales taxes instead of state and local income taxes. So I guess for those states that quality, you can't do both. bummer...
I guess I was wrong. I could have sworn you could do both...OH well...doesn't matter if you live in Texas.