Sales Tax in Louisiana: A Complete Guide for Ecommerce Sellers

Louisiana has one of the most complex local sales tax systems in the US, parishes (Louisiana’s equivalent of counties) independently administer their own sales taxes, with some requiring separate registration and filing from the state system. Combined rates in New Orleans and Baton Rouge routinely exceed 9%–10%, and some multi-district areas can approach 12%. Louisiana established the Louisiana Sales and Use Tax Commission for Remote Sellers (LARC) to centralize remote seller registration, but parish-level complexity remains significant.

Quick reference

Economic nexus

Louisiana’s OR threshold: $100,000 in gross sales OR 200 or more separate transactions into Louisiana in the current or prior calendar year. Either condition alone triggers registration.

Louisiana enacted its economic nexus rules effective July 1, 2020, later than most states.

Physical nexus

Physical presence in Louisiana creates nexus without any threshold:

• Warehouse, office, or storage facility in Louisiana
• Amazon FBA inventory in Louisiana fulfillment centers
• Employees, agents, or independent contractors in Louisiana
• Sales representatives in Louisiana

Registration

Remote sellers register through the Louisiana Sales and Use Tax Commission for Remote Sellers (LARC) at larc.la.gov. This single registration covers the state rate and many locally administered parishes. Registration is free.

Parish-administered taxes: Some Louisiana parishes administer their own sales taxes separately from LARC. Remote sellers with sales into these parishes may need to register and file directly with the parish tax collector in addition to the LARC filing. This is the structural complexity unique to Louisiana.

Tax rates

State rate: 4.45%

Parish (county) rates: Each of Louisiana’s 64 parishes levies its own sales tax. Parish rates range from 2% to 5%. Many parishes also have additional city and special district taxes.

Combined rate examples:

• Orleans Parish (New Orleans): 4.45% state + 5% parish/city = 9.45% combined
• East Baton Rouge Parish (Baton Rouge): 4.45% state + approximately 5.5% local = approximately 10% combined
• Jefferson Parish: 4.45% state + approximately 5.5% local = approximately 9.95% combined
• Some rural parishes with multiple special taxes: 11%–12% combined

Louisiana’s rate map is exceptionally complex, rates vary within parishes based on which city, municipality, or special district the delivery address falls within.

What’s taxable

Generally taxable: Electronics, clothing, furniture, sporting goods, toys, most tangible personal property.

Generally exempt:

• Prescription medications
• Food for home consumption (groceries — Louisiana exempts most food at the state level)
• Agricultural equipment and supplies
• Manufacturing equipment

Notable Louisiana rules:

• Food: Louisiana exempts most food for home consumption from the state 4.45% rate. However, parish and local taxes may still apply to food in many jurisdictions: a grocery purchase is not necessarily zero-rated in Louisiana
• Clothing: Taxable in Louisiana, no clothing exemption
• Digital products: Louisiana taxes specified digital products including downloaded software and digital content
• SaaS: Louisiana’s position on SaaS has evolved, sellers of cloud-based software should review current Louisiana Department of Revenue guidance

Shipping taxability

Louisiana does not tax separately stated delivery charges. When delivery is listed as a separate line item, it is not subject to Louisiana sales tax.

When delivery charges are bundled into the sale price, they are included in the taxable selling price and are taxable if the goods are taxable.

Marketplace facilitator rules

Louisiana enacted marketplace facilitator legislation effective July 1, 2020. Qualifying marketplace facilitators collect and remit Louisiana sales tax on marketplace-facilitated sales.

Remote sellers with no Louisiana physical nexus whose only Louisiana sales are through marketplace facilitators may not need to separately register. Sellers with Louisiana physical nexus must register regardless.

State-specific notes

Parish self-administration is the central challenge: Unlike almost every other state, many Louisiana parishes independently administer their own sales taxes, meaning they have their own forms, their own filing deadlines, their own audit functions, and their own rules. Even with LARC centralizing remote seller registration for many parishes, sellers with significant Louisiana volume should confirm which parishes require separate direct filing.

LARC for remote sellers: Louisiana created LARC specifically to give remote sellers a single point of registration and filing. For many remote sellers, LARC covers their Louisiana obligations. However, self-administering parishes outside LARC’s umbrella still require direct engagement.

One of the last major states to enact economic nexus: Louisiana enacted its rules effective July 1, 2020, nearly two years after most states. Remote sellers who were not registered in Louisiana before that date had no economic nexus obligation for prior periods.

Shipping exemption: Louisiana does not tax separately stated shipping, separately stating delivery charges is a meaningful cost reduction for Louisiana customers and reduces compliance obligations for sellers.