If your limited liability company (LLC) sells physical products or certain types of services, you will need to collect and pay sales tax. In Louisiana, the first step is visiting the revenue department’s website and registering for sales tax in order to acquire a seller’s permit, or sales tax permit.
What Products and Services Are Subject to Sales Tax in Louisiana?
The sale, lease, or rental of tangible personal property are subject to sales tax in Louisiana. Services subject to sales tax include hotel accommodations, printing, laundry, telecommunications, and the repair of tangible property. Groceries, utilities, and prescription drugs are exempt from sales tax in Louisiana.
Louisiana Sales Tax Rate
The sales tax rate in Louisiana is 4.45%.
Five states have no sales tax. Colorado has the lowest sales tax at 2.9%, while California has the highest rate at 7.25%.
How to Register for Louisiana Sales Tax
In Louisiana acquire a seller’s permit by following the revenue department’s detailed instructions for registration:
- Go to the revenue department’s taxpayer access point.
- Fill out the taxpayer registration form.
- There is no fee for taxpayer registration in Louisiana.
Use our Sales Tax Calculator to calculate taxes and total purchase amount.
In Louisiana, and across the country, collecting sales tax is a must if you want to avoid potentially heavy fines and even closure. It’s crucial that you follow your state’s laws, and you might consider consulting with an accountant or tax attorney to make sure you’re in full compliance.