-The State of Louisiana has a Corporate income tax that affects both C Corporations and S Corporations. Read more below.
The state of Louisiana does have an individual income tax. Like most states with income tax, it is calculated on a marginal scale with multiple brackets (3). The tax rates range from between 2.00% to 6.00% for 2020. The highest bracket starts at $50,000.
The state of Louisiana has a Corporate income tax that is also based on a marginal scale. It has multiple brackets (5) that range from 4.00% to 8.00%. Louisiana also imposes the Corporate income tax on S Corporations, but only if any of the shareholder are not Louisiana residents. Other flow-thru entities, such as LLCs and Partnerships are not subject to the corporate income tax.
Additionally, the state of Louisiana imposes a Franchise tax on the capital of all corporate entities. It’s tax rates are
Like most states, Louisiana has both a state and local sales tax. Its state sales tax is 4.45% and it’s local sales tax has an average rate of 5.07% (which puts the state average 9.52%). Louisiana has the 2nd highest sales tax in the country behind Tennessee.
Unemployment taxes usually consist of three factors. They are the wage base, range of rates, number of schedules. Below is an outline of the three:
Louisiana is inexpensive in regards to opening an LLC. Here are some important facts: