The Official Website of the Louisiana Department of Revenue
The state general sales and use tax is levied on the following transactions:
All sales, use, consumption, distribution, storage for use or consumption, leases,
and rentals of tangible personal property are taxable, unless an exemption or exclusion
is provided by law for a particular transaction. In the case of service transactions,
only the particular transactions enumerated in the law are taxable.
The aggregate rate of state sales tax is four percent, which consists of three point
ninety seven percent (3.97%) Louisiana sales tax and point zero three percent (.03%)
Louisiana Tourism Promotion District sales tax. Intrastate telecommunications and
sales of prepaid telephone cards and prepaid telephone authorization numbers are
taxed at three percent. Interstate telecommunication services are taxable at 2%. (Other reduced rates apply. See "exemptions", below.)
Sales and use taxes levied by political subdivisions of the state are in addition
to the sales and use taxes levied by the state. Local sales tax rate information
can be obtained from the web site of the Louisiana Association of Tax Administrators
There are many similarities between the state sales and use tax and the sales taxes
levied and collected by political subdivisions of the state. However, there are
also significant differences, especially in regard to exemptions and suspensions
of exemptions. Businesses should fully acquaint themselves with state sales tax
statutes and local ordinances that are applicable to their specific businesses.
The Department of Revenue and local sales tax administrators are happy to assist
Yes. There are a number of exclusions and exemptions from the sales tax. Certain
types of transactions have been excluded from the definitions in Revised Statute
47:301 making the tax inapplicable to them. Other transactions which normally would
be subject to the tax under Revised Statute 47:301 have been exempted or excluded
from the tax under Revised Statute 47:305. Various statutory exemptions have been
partially and temporarily suspended since July 1, 1986. For more information the
taxable rate of transactions for Exemptions and Exclusions, see the Table of Sales
Tax Rate Exemptions (R-1002) posted on the LDR website.
Common consumer-related exemptions include:
For additional information, you may call our Contact Center at (225)
219-7462 or send an email to firstname.lastname@example.org.
No, you do not have to collect state sales tax when a dealer purchases items for
resale and provides you with a valid Louisiana resale exemption certificate. These resale exemption certificates can be verified
Click the “Resale Certificate” link to reach the Resale Certificate Validation page.
Instructions are included on this page on how to determine the validity of the resale
Dealers that purchase items for resale should provide the seller with a valid Louisiana
resale exemption certificate, and not pay sales
tax on these purchases. If the state sales tax has already been paid to the seller,
then the dealer will be required to obtain a refund of the sales tax paid on resale
purchases from the seller. If you paid state sales tax on a purchase for resale,
you will need to provide a valid Louisiana resale exemption certificate to the dealer who made the sale to receive a refund or credit.
By providing the dealer a valid Louisiana resale exemption certificate at the time
of purchase, you should not be charged state sales tax.
Under certain circumstances, labor charges are taxable. Labor to fabricate or repair movable property is taxable. Labor charges to construct or repair immovable, or real, property are not subject to sales tax.
If the property you purchased is tangible personal property and is subject to sales tax as described above, then the purchase is subject to sales tax even though your vendor did not collect it. The vendor acts as an agent on behalf of the state in collecting the sales tax due. In the event the vendor does not collect the sales tax, the department may seek to collect the sales tax from the seller or the purchaser. This issue is addressed in the court case Collector of Revenue v. J. L. Richardson Company, (App. 4 Cir. 1971, 247 So.2d 151) and by the definition of dealer under LAC 61:I.4301.
If you are registered to collect and remit sales tax, the tax should be remitted
directly to the state by reporting the purchase amount on line 2 of your Louisiana
sales tax return. Louisiana also has provisions in the individual income tax return
by which citizens may report and remit the tax due on personal purchases on which
sales tax was not collected by the vendor. In addition, individuals may complete a "Consumer Use Return"
which can be found on the Department’s website.
Yes, sales to churches and nonprofit organizations are subject to sales tax unless they are specifically exempted by statute. The designation of tax-exempt status by the IRS provides for an exemption only from income tax and in no way applies to sales tax.
The tax return is due on or before the 20th day of the month following the close
of the calendar month or quarter reporting period. Interest and penalty will be assessed on delinquent returns and/or payments.
Transactions for the sale or purchase of tangible personal property or taxable services must be reported on the dealer's sales tax return for the month or quarter in which the sale was made, the service rendered, or the purchased property was imported into the state for use, regardless of when the proceeds of sales are collected, or when payment to the seller is required. Revised Statute 47:306(A)(2)(a) provides, however, that the reporting on sales tax returns of the gross proceeds from rentals and leases can be deferred until the dealer's sales tax return for the month or quarter in which payment is received. Revised Statute 47:303(F) provides a special rule for the remittance of the sales tax payments for memberships in health and physical fitness clubs. This statute says that the tax shall be assessed and shall be due and payable on a monthly basis computed on the amount paid each month less any actual or imputed interest or collection fees or unpaid reserve amounts not received by the health and physical fitness club.
Yes. If a request is made in writing on or before the due date of the return, an
extension may be granted for up to 30 days from the due date of the return as provided
by Revised Statute 47:306(A)(4). Interest is payable
on any return filed and paid after the normal filing deadline.
Yes, under certain circumstances. Currently, If payments made in connection with
the filing of any return, report, or declaration during the prior 12-month period
average $5,000.00 or more, the taxpayer is required to remit the subsequent respective
tax or taxes electronically or by other immediately investable funds.
Yes, if certain criteria are met, an "L" number exemption may be issued upon approval
from the Department. In order to qualify the following conditions must be met.
The "L" number exemption is only valid for the sales tax account number to which
it is issued. The exemption certificate for purchases for one business location
may not be used by another location of the same business. Each location must apply
for and receive its own exemption. The application is form number
R-1370 and maybe obtained on our website.
Yes. If a return is not filed, an assessment will be billed for that period.
Non-profit organizations are not generally exempt from sales tax on purchases in Louisiana. The tax exemption applies to income tax for the corporation.
Internet sales are treated the same as catalog sales for sales tax purposes. If the business has a presence in Louisiana or delivers into Louisiana in its own trucks, it should register for and charge Louisiana sales tax on the sales it makes to Louisiana customers.
Before the Department can issue a sales tax refund on a bad debt, the debt must actually be deducted on a federal income tax return. The Department will process one refund claim per year for each dealer. If all or some portion of the debt is collected, the gross amount collected shall be reported as a new sale for the period when the recovery is made.
To determine if an item is a component of an immovable, the taxpayer should ask whether or not the item being removed will cause substantial damage to the property.
A taxpayer is selected randomly or by some unusual item reported.
If you purchase an item for use within the state of Louisiana, use tax is owned on that item. Companies that do not have nexus (i.e., no salesperson within the state, no office within the state, no property within the state, etc.) with Louisiana are not required to collect Louisiana sales tax.
Rentals with an operator are not taxable because this is a service being provided. The Louisiana sales tax law does not list this as one of the taxable services.
Call the Contact Center at (225)219-7462 or submit an inquiry through our sales tax
inquiry mailbox on this webpage at email@example.com.
Act 480 of the 2007 Regular Legislative Session enacted R.S. 47:301(16)(p)
concerning the definition of the term "tangible personal property" to provide a
sales tax exclusion for newspaper sales Effective July 1, 2008. Before the sales
tax exclusion was enacted, R.S. 47:305(D)(1)(e) already exempted newspapers from the
sales tax, but because the sales tax exemptions were suspended, tax was collected
on newspapers. When the sales tax exclusion was enacted, the sales tax exemption
R.S. 47:305(D)(1)(e) was repealed.
If the vendor would have charged the tax, you would have paid it to the vendor when paying the invoice. The final consumer owes the tax even if the vendor fails to collect it.
Revised Statute 303. Collection
A. Collection from dealer.
The taxpayer needs to request an Application for Consolidation from Central Registration
and they will make the determination if you qualify for the consolidation.
Stores located in tax increment financing districts and all hotels and motels in Louisiana are
prohibited from filing on a consolidated basis. These taxes are dedicated in whole
or in part to special parish funds in the state Treasury, and therefore, each location
must report individually.
Yes, you must have a valid certificate for all of your customers.
Dealers whose sales tax liabilities averages less than $500 per month after filing six returns may apply to file on a quarterly basis.
Yes. The fact that these purchases are for a state agency does not exempt you, as a contractor, from the use tax due on these purchases.
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