LA
Louisiana Small Business Tax Guide
Louisiana sales tax and income tax rates, quoted from the Department of Revenue and the state's tax statutes. Educational overview only, not tax advice.
Disclaimer: This page is educational content only. Tax laws change, and your situation may differ. It is not legal, tax, or financial advice. Consult a qualified professional licensed in Louisiana before making filing or planning decisions.
Tax landscape for small businesses
This guide quotes the Louisiana Department of Revenue and the Louisiana Revised Statutes on the Legislature's website, as retrieved on October 31, 2026. Each source's own date is given where it has one.
On sales tax, the Louisiana Department of Revenue's General Sales & Use Tax page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026) says "The state sales tax rate is 5%." It also says "Sales tax returns and tax payments are due on or before the 20th of the month following the close of the calendar month or calendar quarter of the reporting period."
On income tax, R.S. 47:287.12 (Louisiana; as retrieved on October 31, 2026) says "For taxable years beginning on or after January 1, 2025, the tax to be assessed, levied, collected, and paid upon the Louisiana taxable income of every corporation shall be computed at the rate of five and one-half percent." R.S. 47:32 (Louisiana; as retrieved on October 31, 2026) says "The tax to be assessed, levied, collected, and paid upon the taxable income of an individual shall be computed at the rate of three percent on net income." Ask the Louisiana Department of Revenue or a tax professional which rules apply to your business.
Worked example, with sample figures before any tax: a customer in Louisiana buys $2,400.00 of taxable goods. Using the department's 5% state rate, from its page updated June 13, 2025 and as retrieved on October 31, 2026: $2,400.00 × 5% = $120.00 of sales tax, for an invoice total of $2,520.00. The example uses the state rate only; for any other sales tax that may apply where you sell, ask the Louisiana Department of Revenue. Use your own figures; these are only an illustration.
Tax overview
Each row lists a tax area and its notes. Confirm current figures with your state's tax agency or the IRS.
| Tax type | Rate or basis | Notes |
|---|---|---|
| State sales tax | "5%" | General Sales & Use Tax page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026): "The state sales tax rate is 5%." |
| Cable and satellite services, additional state rate | "5%" | Same page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026): "Cable and satellite services are also subject to an additional state tax rate of 5%." |
| Corporate income tax | "five and one-half percent" | R.S. 47:287.12 (Louisiana; as retrieved on October 31, 2026): "For taxable years beginning on or after January 1, 2025, the tax to be assessed, levied, collected, and paid upon the Louisiana taxable income of every corporation shall be computed at the rate of five and one-half percent." Its history includes "Acts 2024, 3rd Ex. Sess., No. 5, §1, eff. Jan. 1, 2025." and the note "See Acts 2024, 3rd Ex. Sess., No. 5, §4, regarding applicability to franchise tax periods beginning on or after Jan. 1, 2026." |
| Individual income tax | "three percent on net income" | R.S. 47:32 (Louisiana; as retrieved on October 31, 2026): "A. On individuals. The tax to be assessed, levied, collected, and paid upon the taxable income of an individual shall be computed at the rate of three percent on net income." The section, as retrieved, doesn't name the tax year this rate starts with; ask the Louisiana Department of Revenue or a tax professional which years it applies to. |
Filing requirements
This list isn't a complete checklist for your business.
Sales tax certificate
The Louisiana Department of Revenue's General Sales & Use Tax page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026) says "If a seller or lessor qualifies as a dealer under the definition of the term at R.S. 47:301(4), they must apply for a sales tax certificate, collect the proper taxes from customers, and file returns with the Louisiana Department of Revenue."
Who counts as a dealer
Same page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026): "A seller or lessor will qualify as a dealer subject to tax collection requirements if they lease, rent, or sell tangible personal property or digital products in the state, furnish services in the state that are taxable under the statute, hold property in the state for resale, maintain a business location in the state". The page lists further cases after that.
Return and payment due date
Same page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026): "Sales tax returns and tax payments are due on or before the 20th of the month following the close of the calendar month or calendar quarter of the reporting period."
What the tax is charged on
Same page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026): "The state general sales tax is due on the sales price [R.S. 47:301(13)] for transactions subject to the sales tax and on the cost price [R.S. 47:301(3)] for transactions subject to use tax."
Income tax returns
Louisiana income tax forms and due dates aren't covered here. The Louisiana Department of Revenue or a tax professional can tell you which returns your business files.
Deductions and write-offs
Confirm with your state how it treats each item.
- Items taxed at other rates or exempt: the Louisiana Department of Revenue's General Sales & Use Tax page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026) points to R-1002, Table of Sales Tax Rates for Exemptions, "for more information on the sales tax rate applicable to certain items."
- Income tax deductions and credits: ask the Louisiana Department of Revenue or a tax professional which apply to your business.
Practical tips
- Charge sales tax on taxable services as well as goods. The General Sales & Use Tax page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026) lists taxable services that include "Printing and copying services" and "Repairs and maintenance of tangible personal property".
- Tax rentals as well as sales. The same page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026) says the taxable base includes "the gross amount charged for the lease or rental of tangible personal property or digital products".
- Put the 20th on your calendar. The same page (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026) says returns and payments are due "on or before the 20th of the month following the close of the calendar month or calendar quarter of the reporting period."
- Store the rate in your invoicing tool. Billed's invoice software page says "Save your tax rates and settings once, and Billed calculates taxes automatically when you create invoices and estimates."
Frequently asked questions
Explore More State Tax Guides
Create a Louisiana invoice
Create invoices, track payments and keep your clients' details in one place with Billed.
At a glance
| Topic | What the official source says |
|---|---|
| State sales tax | "The state sales tax rate is 5%." (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026) |
| Cable and satellite services | "an additional state tax rate of 5%" (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026) |
| Sales tax due date | "on or before the 20th of the month following the close of the calendar month or calendar quarter of the reporting period" (Louisiana; page updated June 13, 2025; as retrieved on October 31, 2026) |
| Corporate income tax | "five and one-half percent" for "taxable years beginning on or after January 1, 2025" (R.S. 47:287.12) (Louisiana; as retrieved on October 31, 2026) |
| Individual income tax | "three percent on net income" (R.S. 47:32) (Louisiana; as retrieved on October 31, 2026) |
When this isn't for you
For Louisiana small business owners who want the state's own wording on sales tax and income tax rates. Local sales taxes, remote-seller rules, exemption certificates, penalties, franchise tax and income tax filing aren't covered; ask the Louisiana Department of Revenue or a tax professional.