Louisiana Sales Tax and Invoicing Rules for 2026

TL;DR: Louisiana has a 4.45% state sales tax with parish (county) additions pushing combined rates to 8.45%–12.95% — among the highest in the nation. The state and parishes administer their taxes separately. Economic nexus applies at $100,000 in sales OR 200 transactions.

State sales tax rate

Louisiana imposes a 4.45% state sales tax. Parishes (Louisiana's equivalent of counties) and municipalities add their own local taxes ranging from 4%–8.5%, creating some of the highest combined rates in the country — from 8.45% to 12.95% in some jurisdictions.

New Orleans has a combined rate around 9.45%. Baton Rouge reaches approximately 10.7%. Shreveport sits near 10.35%.

Louisiana's system is uniquely complex because state and local sales taxes are administered separately — the state collects the state portion, while individual parishes collect local taxes. The Louisiana Sales and Use Tax Commission for Remote Sellers was created to centralize remote seller compliance.

Louisiana uses destination-based sourcing.

Nexus rules

Physical nexus applies through offices, employees, inventory, or property in Louisiana.

Economic nexus triggers at $100,000 in gross revenue from Louisiana sales OR 200 or more transactions in the current or prior calendar year. Either threshold creates nexus.

Remote sellers register with the Louisiana Sales and Use Tax Commission for Remote Sellers, which provides a centralized collection mechanism. Marketplace facilitators must collect and remit on behalf of third-party sellers.

The Commission simplifies what would otherwise require registration with up to 64 individual parish tax collectors.

Invoice requirements

The Louisiana Department of Revenue (for state tax) and individual parish collectors (for local tax) require sellers to maintain records. Invoices should include:

• Seller's name, address, and tax registration number
• Date of sale
• Buyer information
• Description of items
• Sale price
• State tax rate and amount
• Local tax rate and amount (ideally separated)
• Total

For remote sellers using the Commission, a combined rate may be applied. For exempt sales, retain the buyer's Resale Certificate (Form R-1048) or Exemption Certificate (Form R-1059). Records should be maintained for at least three years.

Exemptions and special cases

Groceries (food for home consumption) are exempt from the state sales tax but remain subject to local parish taxes. Prescription drugs are exempt from state sales tax.

Manufacturing machinery and equipment has exemptions. Agricultural products and farm inputs have various exemptions. Clothing is fully taxable.

SaaS treatment is evolving — Louisiana has begun taxing certain digital products, and the taxability of SaaS depends on whether it is classified as tangible personal property or a service. Louisiana also has unique industry-specific exemptions related to oil and gas, seafood processing, and ship building.

Filing frequency and deadlines

State returns are due monthly by the 20th of the following month for most businesses. Smaller sellers may qualify for quarterly or annual filing.

For remote sellers using the Commission, returns are filed through the Commission's portal with a single filing covering both state and local taxes.

Parish-level filing for in-state sellers varies by parish — each may have its own due dates and filing requirements. Louisiana does not offer a vendor discount for timely filing at the state level, though some parishes may.

Penalties for non-compliance

Late filing incurs a 5% penalty per month on unpaid state tax (up to 25%). A minimum $10 penalty applies per late return.

Interest accrues at a rate set by the Department. Parishes impose their own penalties for late local tax filings. Failure to register results in back-assessments and potential interest from the date nexus was established.

Louisiana has been strengthening enforcement for remote sellers through the Commission.

FAQ

Why are Louisiana's combined rates so high?

Louisiana's state rate (4.45%) is moderate, but parishes and municipalities add substantial local taxes — sometimes exceeding the state rate. Combined rates can exceed 12%, making them among the highest in the nation.

How does the Remote Sellers Commission work?

The Commission provides a single registration, single return, and single payment mechanism for out-of-state sellers. Instead of registering with up to 64 individual parish collectors, remote sellers register once with the Commission and file consolidated returns.

Are groceries exempt in Louisiana?

Groceries are exempt from the 4.45% state sales tax. However, local parish taxes still apply to food purchases. The effective tax on groceries varies by parish but is typically 4%–6% after accounting for local taxes only.

Find the right combined rate for any Louisiana parish with InvoiceQuickly's tax rate lookup.