The Official Website of the Louisiana Department of Revenue
Requests for waiver of the penalty must be in writing from the taxpayer and notarized. Account should not have a past record of delinquent filings or payments. Taxpayer should be current in filing all tax returns and remitting applicable taxes. All taxes, interest, and other penalties must be paid in full.
An extension only extends the time to file the return, not the time to pay the tax due.
The filing frequency was changed based on the amount of tax you reported for the past year. Taxpayers are notified of this change by mail.
Prior to January 01, 2006, interest accrued at the rate of one and one quarter percent a month or 15 percent per annum from the date the return is required by law to be filed until the date the tax is paid. Beginning January 01, 2006 the rate of interest is subject to change annually. The rates can be found on the website by accessing form number R-1111. For failure to file a return on time, a penalty of 5 percent of the tax accrues if the delay in filing is not more than 30 days. An additional 5 percent penalty accrues for each additional 30 days or fraction thereof during which the failure to file continues, not to exceed a total of 25 percent. For failure to pay the tax in full by the date the return is required by law to be filed, determined without regard to any extension of time for filing the return, a penalty of 0.5 percent of the tax not paid accrues for each 30 days during which the failure to pay continues, not to exceed a total of 25 percent.
The Louisiana Department of Revenue (LDR) participates in a federal offset program once an individual tax liability has reached final status plus 60 days the liability is posted with the federal Financial Management Service (FMS). The federal program will garnish federal refunds for the state tax liability and remit the garnished refund to the Department to apply to the taxpayer’s liability. All taxpayers are notified of LDR’s participation in this program when the taxpayer is issued a Notice of Intent to Offset. This is issued once a liability has reached final status in the billing process. In return for our participation, LDR will offset Louisiana tax refunds by the amount of outstanding Federal Tax Liability. The LDR also offsets Louisiana refunds for other state agencies and governmental entities.
You may download an installment agreement from the website or contact our office at (225) 219-0102.
You may be eligible for an offer in compromise. Revised Statute 47:1578(4) allows the Secretary of Revenue to settle a liability for less than the total amount due in certain cases. To qualify for an offer in compromise, one of the following circumstances must apply:
To apply for an offer in compromise, taxpayers must submit an Offer in CompromiseApplication, Form R-20212A, and a Statement of Financial Condition for Individuals, Form R-20212I, or a Statement of Financial Condition for Businesses, Form R-20212B.
If the taxpayer is applying for the offer in compromised based on inability to pay the liability, the Document Checklist for Offer in Compromise Based on Serious Doubt as to Collectability, Form R-20211, should also be completed and used as a guide for the documents required.
The LDR Offer In Compromise Program booklet, Form R-20212, explains the offer in compromise requirements and contains all of the required application and financial disclosure forms.
Revised Statute 47:303(D) provides that the Secretary of the Louisiana Department of Wildlife and Fisheries may not register or issue a certificate of registration on any new boat or vessel purchased in the state until satisfactory proof has been presented certifying that all state, municipal, school board, and parish sales taxes have been paid. The law also requires certification of sales tax payment for any boat or vessel brought into the state and, if the sales and use tax was not properly paid, the tax must be paid to LDR and the payment noted on the signed certificate.
If the new boat was purchased from a Louisiana dealer or builder, the sales tax should be paid to the dealer or builder and the invoice certifying the sales tax payment issued to the customer to be presented to the Department of Wildlife and Fisheries.
If the boat was purchased from an individual who used the boat personally, the purchase would qualify as a casual sale and would be exempt from the sales tax. The boat purchaser should present the seller’s registration certificate and a notarized bill of sale to the Department of Wildlife and Fisheries for verification. Once it is verified that sale qualifies as an exempt casual sale, the boat registration will be issued.
If the boat was brought into the state and was not an exempt purchase, such as a casual sale from a boat owner, the sales tax must be paid directly to LDR and the local sales tax agencies and a Boat Registration Tax Payment Certification, Form R-1331, completed and signed by the purchaser and the state and local tax collection officials to certify that the sales tax has been paid. Sales tax can be paid and the certification obtained from any LDR office.
Revised Statute 47:296.2 authorizes suspension of drivers’ license for Louisiana taxpayers who have an outstanding individual income tax balance of $1,000 or more that is final and nonappealable. LAC 61:I.1355 provides for the driver’s license suspension and denial of renewal procedures and notifications.
If you have been notified that your driver’s license has been suspended or the Department of Public Safety refuses to issue or renew your driver’s license because you owe individual income tax, you must pay the tax due or enter into an installment payment agreement before LDR will issue a tax clearance letter to you. If the assessment is based on an estimate, you will be required to file an income tax return for the tax period.
Once your tax clearance letter has been issued, you must bring the clearance to the Department of Public Safety, Office of Motor Vehicles, and pay the $60 reinstatement fee before your driver’s license will be reinstated or issued.
The income tax can be paid and the clearance obtained from any LDR office.
Revised Statute 47:1602 imposes delinquent filing and delinquent payment penalties for failure to file the tax return or failure to pay the tax due by the due date.
Revised Statute 47:1603 provides for waiver of the delinquent filing or delinquent payment penalties. LAC 61:III.2101 provides the conditions under which delinquent penalties will be waived.
If the failure to timely file the tax return or pay the tax due is not due to the taxpayer’s negligence but to other reasonable cause, the secretary may waive the delinquent filing or payment penalties. To apply for delinquent penalty waiver, the taxpayer must submit a Request For Waiver Of Penalties For Delinquency, Form R-20128, and submit the request with payment for the tax, interest, and fees, if applicable, and a copy of the bill to the Collection Division, Post Office Box 201, Baton Rouge, LA 70821-0201.
Revised Statute 47:1601 provides for interest to be added to unpaid taxes. When a taxpayer fails to pay the tax by the due date, interest will be added to the amount of tax due computed from the tax due date until the tax is paid. The interest rate is set annually at three percent above the legal interest rate provided for by Revised Statute 9:3500(B)(1). The Commissioner of the Office of Financial Institutions sets the legal interest rate at three and one-quarter percent above the discount rate published in the Wall Street Journal on the first business day of October.
LDR announces the interest rate on tax liabilities each year in a Revenue Information Bulletin.
In most cases interest cannot be waived.
However, Revised Statute 47:1601(A)(2) and LAC 61:III.2115 allow for the interest to be compromised or abated as follows:
Sales tax clearances are required for alcoholic beverage permits by Revised Statute 26:78(A) and 26:80(E) and Revised Statute 26:278(A) and 26:280(E). In addition, Revised Statute 26:916(H) allows the ATC commissioner to suspend or revoke a dealer’s tobacco permit if the dealer fails to pay taxes due to the state.
New dealers must first register for a LDR revenue account number. Once registered, the dealer may request the tax clearance to be mailed to the dealer’s address. Requests can be made by phone to the Collection Division, Special Collections Unit at (225) 219-7448, Option 4 or by email to the Collection Inquires mailbox. Dealers may also request a tax clearance in person from any LDR office. Dealers should contact the regional offices to make a customer-service appointment. Dealer representatives requesting a tax clearance for the dealer must have a signed written request from the dealer that includes the dealer’s revenue account number to ensure confidentiality of dealer tax records.
Once permitted, clearances for permit renewals are issued automatically 60 days before the permit expiration date for dealers who owe no taxes. Dealers who do not receive the tax clearance within 30 days of the permit’s expiration should contact the Collection Division, Special Collections Unit at (225) 219-7448, Option 4 or by email to the Collection Inquires mailbox. Dealers who owe taxes will be required to pay the outstanding liability or enter into an installment agreement before the tax clearance will be issued. If the dealer becomes delinquent after the permit is issued or misses an installment payment, the permit will be revoked until the dealer has paid their tax liabilities.
Yes. When a taxpayer fails to pay any tax, penalty, or interest assessed, Revised Statute 47:1569 authorizes the secretary to enforce the tax collection by distraint and sale. Revised Statute 47:1570 defines distraint to mean the secretary’s right to levy upon and seize and sell any of the taxpayer’s property or rights to property including goods, chattels, effects, stocks, securities, bank accounts, evidences of debt, wages, real estate and other forms of property to satisfy any assessment of tax, penalty or interest due.
The properties most commonly seized are the taxpayer’s bank accounts and wages. However, other property can also be seized and sold for the payment of tax debt. Revised Statute 47:1571 prescribes the distraint procedures. Revised Statute 47:1572 provides for the surrender of property subject to distraint and Revised Statute 47:1573 provides for the sale of distrained property.
In most cases, payments are applied against the liability for the oldest period first. After the liability is fully paid for that period, the payment will be applied to the next oldest period and so on until the taxpayer’s liabilities are paid in full. This method of applying payments should minimize the taxpayer’s interest and penalty assessments. For individual income tax payment questions, call LDR at (225) 219-0102. For business tax payment questions, call (225) 219-7462
When a taxpayer fails to pay any tax, penalty, or interest assessed by LDR, Revised Statute 47:1569 authorizes the secretary to enforce the tax collection by distraint and sale. Revised Statute 47:1570 defines distraint to mean the secretary’s right to levy upon and seize and sell any of the taxpayer’s property or rights to property including goods, chattels, effects, stocks, securities, bank accounts, evidences of debt, wages, real estate and other forms of property to satisfy any assessment of tax, penalty or interest due.
Revised Statute 47:1577 provides that all tax, penalty, interest, or attorney fees due to LDR shall operate as a lien, privilege, and mortgage on all of the property of the tax debtor. The law also authorizes LDR to record notices of liens in parishes where there is reason to believe that the tax debtor owns property. If a lien is recorded, the tax debtor is responsible for paying the lien recordation costs. See LAC 61:I.5302.G for more information about lien fees.
Once a lien has been recorded, Revised Statute 47:1578 requires the taxpayer to pay the tax, interest, penalties, and lien fees for the tax period against which the lien was recorded before the lien will be released. To determine the lien payoff amount and to request a lien release, the taxpayer must submit the Request for Louisiana Tax Assessment & Lien Payoff, Form R-19023, and attach copies of any outstanding liens. Once the request is received, the taxpayer’s account will be reviewed and the lien payoff including tax, penalties, interest, and lien recordation and cancellation fees will be provided. When the liability is paid, the lien will be cancelled. The response time to obtain the lien payoff information is four to five business days. To expedite a request, the form may be faxed to the Special Collection Unit at (225) 219-2256.
Revised Statute 47:1578 also allows for a partial lien release for certain real property if LDR has liens against the tax debtors other properties sufficient to cover the tax obligation amount taking into consideration for the rankings of any other liens or if the tax debtor pays an amount that is equal to the state’s interest in the property or if it is determined that the state’s interest in the property to be released has no value. All partial lien releases must be approved by the Louisiana Board of Tax Appeals.
For more information concerning tax liens, see LAC 61:I.5302.
If your business has been closed or sold, you must file a Request to Close Business Tax Accounts, Form R-3406, to notify LDR to close your tax accounts. If you fail to file this request or to otherwise notify LDR, estimated assessments will continue to be issued.
If you have received estimated assessments for periods after your business closure, you should submit the Request to Close Business Tax Accounts, Form R-3406, and any dissolution documents, if applicable, and your account will be closed and estimated assessments issued after the close date will be cancelled.
If the assessment is an estimated tax assessment issued before your tax return was processed, your tax return information will automatically replace the estimated assessment issued. You can check the status of your business tax account online using the Louisiana Taxpayer Access Point (LaTAP) system.
When you register a business with LDR, tax returns must be filed beginning with the business registration open date even if you have no activity and owe no tax. Once registered, the LDR system begins issuing estimated assessments for each tax period. To resolve these estimated assessments, you must file tax returns even if the amounts reported are zero. Once you actually begin operating your business, returns should be filed with your correct tax data.
Individual income taxpayers who are unable to pay all of their taxes by the due date, may request a six-month installment payment plan using the Installment Request for Individual Income, Form R-19026. You will be required to make monthly payments for one-sixth of the total balance due. For example, if you owe $600, you must pay $100 per month. Once you request an installment plan, you should begin making monthly payments even if you have not received approval from LDR.
Please note that interest and delinquent payment penalty will be assessed on the amount not paid by the due date. For that reason, you should contact the Collection Division at (225) 219-7448 to determine the amount of your final payment. You may also obtain this information from the Collection Division by email at email@example.com.
Individual income taxpayers must call the LDR Call Center at (225) 219-0102, option 5. You may also inquire by email to firstname.lastname@example.org.
Business taxpayers can register for the Louisiana Taxpayer Access Point (LaTAP) system and will be able to view their tax filing and payment history for all taxes.
Interest and late payment penalties, if applicable, continue to be added to your account until the tax is paid in full. For that reason, you should contact the Collection Division at (225) 219-7448 to verify the amount of your final payment. You may also request this information by email to email@example.com.
The Internal Revenue Service provides LDR with tax return information for all taxpayers who file federal income tax returns with Louisiana addresses. This information is compared with LDR’s state tax filing information and bills are issued to individual income taxpayers who did not file a Louisiana tax return or underreported their Louisiana income.
Individuals who are domiciled, reside, or have a permanent residence in Louisiana are required to file a Louisiana individual income tax return and report all of their income and pay Louisiana income tax on that income, if applicable. Revised Statute 47:31 provides that individuals who reside in the state for more than six months are considered residents of the state for the entire year.
In addition, a temporary absence from Louisiana does not automatically change the taxpayer’s domicile for income tax purposes. The taxpayer must confirm their intention to change domicile to another state by actions taken to establish a new domicile outside of Louisiana. Examples of establishing a domicile include registering to vote, registering and titling vehicles, obtaining a driver’s license, changing children’s school of attendance, obtaining a homestead exemption, or any other actions that show intent to establish a new domicile outside of Louisiana.
To prove that you were not a Louisiana resident and not required to file a state individual income tax return, you must provide documentation that confirms your domicile in the other state. Proof can be established with a copy of your other state voter registration, automobile registration or license, your driver’s license, etc. If you maintain a residence in Louisiana while working in another state, you would still be considered a Louisiana resident required to pay Louisiana income tax. A temporary absence from Louisiana does not automatically change your domicile for income tax purposes.
Please note that military personnel whose domicile is Louisiana must file a Louisiana resident income tax return and report all of their income to Louisiana regardless of where they were stationed. Credit is allowed for income taxes paid to other states.
Revised Statute 47:287.444(B) provides the method for computing the corporation’s taxable income if the tax period is less than 12 months. To compute the tax due for the short period, the Louisiana taxable income must be placed on an annual basis by multiplying the taxable income amount by 12 and dividing by the number of months included in the short period. The tax on this annualized income is then computed and multiplied by a fraction of which the numerator is the number of months in the short period and the denominator is 12.
If you filed a corporation income tax return for a short period and did annualize the corporation’s taxable income before computing your tax liability, you will owe additional tax.
No. The state sales tax collected on hotel/motel room rentals is dedicated to 80 different parish tourism and visitor enterprise funds in 59 parishes. To ensure that LDR is able to identify the sales tax collected on hotel/motel room rentals in the various cities and parishes, businesses that meet the definition of “hotel” as provided by Revised Statute 47:301(6), hotels and motels are required to report the sales tax collections from hotel/motel room rentals on the Statewide Hotel/Motel Sales Tax Return, Form R-1029H/M.
However, hotels/motels located in Orleans and Jefferson Parishes are required to collect the four percent Louisiana Stadium and Exhibition District room tax, the three percent the Ernest N. Morial New Orleans Exhibition Hall Authority room tax, and the state sales tax and report the taxes on a different Hotel/Motel Sales Tax Return, Form R-1029DS instead of the Form R-1029H/M.
Because the hotel/motel taxes are dedicated, beginning July 2009, hotel and motels will be required to file these tax returns electronically. See LAC 61:III.1513-1523. Failure to comply with the electronic filing requirement may result in the assessment of a penalty of $100 or five percent of the tax, whichever is greater, as provided by Revised Statute 47:1520(B).
Hotels and motels can register for electronic filing for both tax returns using the Louisiana Taxpayer Access Point (LaTAP) system. Once registered for electronic filing, taxpayers can file and pay their taxes electronically and review their tax filing and payment history for all taxes.
If you have submitted a paper income tax return, the processing time may take 6-8 weeks.
If you filed electronically, your income tax return will be processed within 1-3 days and your refund mailed within one week. If you selected direct deposit for your refund, the funds should be deposited within one week of processing.
Once you have filed, you can check the status of your refund using the following methods:
When a taxpayer fails to pay any tax, penalty, or interest assessed by LDR, Revised Statute 47:1569 authorizes the secretary to enforce the tax collection by distraint and sale. Revised Statute 47:1570 defines distraint to include the secretary’s right to levy upon and seize and the taxpayer’s wages to satisfy any assessment of tax, penalty, or interest due.
If you owe monies to LDR that are collectible by distraint, the law allows LDR to garnish your wages for up to 25 percent of your pay. A notice was sent to your employer that includes your debt amount and the name of the Tax Officer assigned to your case. If you have questions or want to confirm your liability, you may call the Tax Officer on the notice or the LDR Collection Division at (225) 219-7448, Option 6.
Amended returns can be filed by re-filing a corrected tax period return with an X marked in the Amended Return box and attaching an explanation of the changes. The amended return should be mailed to the address on the tax return.
Amended individual income tax returns can be file electronically using the Louisiana File Online application. If you filed your original tax return electronically, you may log in to your account and amend your original return. If you filed your original tax return on paper or via another electronic filing option, you can still file your amended return electronically using the Louisiana File Online application. You must register and create a User ID and password and then select the amended tax return option.
Amended business tax returns can be filed electronically using the Louisiana Taxpayer Access Point (LaTAP) system. Once registered for the LaTAP system, you can file and pay your taxes electronically and review your tax filing and payment history for all taxes.
Taxpayers who have tax liabilities are sent a notice of tax due and a payment coupon and reply envelope. Using the payment coupon and reply envelope ensures that your payment will be properly processed and credited.
To verify your tax liability for individual income tax, call LDR at (225) 219-0102.
To verify your tax liability for business taxes, you can review your liabilities online using the Louisiana Taxpayer Access Point (LaTAP) system.
Individual income tax liabilities may be paid electronically by an electronic bank account debit using the Louisiana File Online application or by credit card using Official Payments. Credit card payments may also be initiated by telephone at 1-888-272-9829. Credit card payments incur a 2.49 percent convenience fee.
Business tax liabilities may be paid electronically using the Louisiana Taxpayer Access Point (LaTAP) system or by credit card using Official Payments. Credit card payments may also be initiated by telephone at 1-888-272-9829. Credit card payments incur a 2.49 percent convenience fee.
Most banks will cash or deposit tax refund checks with minor name misspellings if all other information is correct.
If you are unable to cash or deposit your refund because of the misspelling, can notify LDR of the error in any of the following ways:
Send a copy of your certified mail receipt and a copy of the assessment notice to the Collection Division, P.O. Box 66658, Baton Rouge, LA 70896-6658. You may also fax the documents to the Collections Division for individual income tax to (225) 219-2256, attention Enforcement Section or to (225) 219-0865, attention Resolution and Recovery Section for business taxes.
Even though LDR is notified by the courts of a taxpayer’s bankruptcy, Statements of Account will continue to be issued without payment voucher coupons. The statements will contain a bankruptcy statement at the bottom of the notice.
If your statement does not contain the bankruptcy statement, contact the Collection Division, Bankruptcy Section at (225) 219-2255 and provide your bankruptcy case number and the court in which the bankruptcy was filed. You may also fax the information to (225) 219-2250. Be sure to include your revenue account number, address, and contact phone number.
If a taxpayer collects sales tax or income tax withholding and fails to pay the tax to LDR, the secretary may use a summary process in any court of competent jurisdiction to require the taxpayer to show cause why he should not be ordered to cease from further pursuit of his business. The rule to show cause must be heard at least two but not more than ten days after the rule is filed. If the rule is made absolute, the order rendered shall be considered a judgment in favor of the state, prohibiting the dealer from the further pursuit of the business until the delinquent tax, interest, penalties and costs are paid. If the dealer does not obey the cease and desist order, every violation shall be considered as a contempt of court, and punished according to law. See Revised Statute 47:314 and LAC 61:I.4367 for sales tax and Revised Statute 47:1574.1 and Revised Statute 47: 1582 for sales and income tax withholding
If you have been notified that a cease and desist order has been filed against your business for unpaid sales tax or income tax withholding, you should immediately contact the tax official assigned to your account and whose name appears at the bottom of the notice. Failure to immediately respond could result in the closure of your business.
Revised Statute 47:1561.1 authorizes the LDR secretary to pursue collection of income taxes withheld from employee wages and sales tax collected from consumers against the officers, directors, or managers or members of corporations, limited liability companies, or limited partnerships that fail to remit the taxes collected.
As an officer of a corporation, limited liability company, or limited partnership, the law makes you personally liable for any sales tax and income tax withholding collected and not remitted to the state. Collection of these delinquent taxes is being pursued against the officers because all other attempts to collect the taxes have been unsuccessful.
To resolve the tax liability, you should contact the tax official assigned to your account and whose name appears at the bottom of the notice. If you are not an officer of the company or did not have direct control or supervision of the taxes, you must provide official documentation and the name and address of the officer that was responsible for filing the returns and paying the taxes.
If you received a notice of tax due, mail your payment and the payment coupon to LDR in the reply envelope. Using the payment coupon and reply envelopes ensures that your payment will be properly processed and credited.
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