I'm referencing another post I just read yesterday from memory, but the IIRC "best" way to set up stockpiles so dwarves bring used clothing to a refuse stockpile, but not the new stuff is:
Stockpile A takes only from your clothier's workshops, set to only accept clothing (however you want to do the settings. I limit it to armor/headwear/legwear/handwear/footwear and mats to leather/silk/cloth/yarn, although I guess I should also have it take from the leatherworkers then...). Bins or not, your choice, I prefer not, but I've noticed there was a risk of overflow getting carried to...
Stockpile B, which has NO BINS and accepts only clothing, but from anywhere. This will have to be moderately sized, I'm using 11*5 at the moment I think, which seems sufficient. Used and/or goblin clothing will get carried here. Stockpile B also gives to...
Stockpile C, which takes only from B, but where you have a choice. 5*5 or larger is probably advised here as well, and bigger is better. I have stockpile C set to have bins, and then dump them, bins and all, to my garbage dump near my trade depot if this fills up (like it will after sieges). It all gets traded off eventually, so far. But the other option is to have this set to accept only clothing, but also enable refuse, however disable all options under refuse. That should cause them to rot away. I'm not sure how long bins will take to rot, or if they do, so disabling bins and making this pretty large (I'm thinking a full 11x11 or so) may be easiest.
For the record: I don't actually rot the clothes away, so not using the full system at the moment. And my fort has 85 citizens in case you're wondering about what kinda fort those stockpile sizes are for.
P.S. As an aside, only just now realized my childcare burrow (a room with beds assigned to all the children, some booze and food, that all the kids are assigned to) doesn't have clothes in it, so any new peasants are ashamed about being naked. Oops.