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Louisiana Sales Tax Rate Increases on January 1, 2025: What You Need to Know
Dec 3, 2024
Starting January 1, 2025, Louisiana's state sales tax rate will increase from 4.45% to 5%. While this increase applies uniformly across all parishes, combined state and local sales tax rates will vary depending on your location. In many areas, these rates will exceed 10%, so businesses should prepare to update their Point-of-Sale (POS) systems to ensure accurate tax collection.
Here’s a look at the combined sales tax rates for select locations in Louisiana:
- Ascension Parish: Gonzalez - 9.50%
- Bossier Parish: Bossier City - 10.00%
- Caddo Parish: Shreveport - 9.60%
- Calcasieu Parish: Lake Charles - 10.75%
- East Baton Rouge Parish: School District - 10.50%
- Iberia Parish: New Iberia - 10.25%
- Jefferson Parish: Parishwide - 9.75%
- Lafayette Parish: Lafayette - 9.00%
- Livingston Parish: Denham Springs - 10.50%
- Orleans Parish: Parishwide - 10.00%
- Ouachita Parish: Monroe - 10.99%
- Rapides Parish: Alexandria - 10.50%
- St. Landry Parish: Opelousas - 10.75%
- St. Tammany Parish: Slidell - 9.63%
- Tangipahoa Parish: Hammond - 10.50%
- West Baton Rouge Parish: Parishwide - 10.25%
Additional Considerations for Orleans Parish
Businesses in Orleans Parish should remember the additional Morial Convention Center tax. For those operating in the French Quarter, there is also the current French Quarter (Quarter for the Quarter) tax of 0.2495% should also be accounted for when calculating total sales tax rates.
Preparing for the Change
To adjust to the new tax rates, we recommend the following steps:
- Update POS System sales tax rates: Ensure your systems reflect the 5% state tax and any local or other taxes updates by January 1, 2025.
- Communicate with Staff: Advise and train employees on how the updated rates will affect pricing and transactions.
- Inform Guests: Be prepared to explain to guest the changes to sales taxes to minimize confusion about tax changes.
Stay informed and compliant to avoid disruptions to your operations in the New Year!