How Louisiana Sales Tax Works and What You Pay

Louisiana sales tax is a tax on most goods and some services that you pay at the point of sale

Louisiana's statewide sales tax rate is 4.45 percent. When you buy something in a store or online, you pay this base rate plus any local sales taxes that explore in your parish (Louisiana's term for county). The total rate you see on your receipt depends on where you are shopping — a purchase in New Orleans will have a different total tax than the same purchase in Baton Rouge, because each parish and municipality adds its own local tax on top of the state rate.

The merchant collects the tax from you at checkout and sends it to the Louisiana Department of Revenue. You do not file a separate form or send money directly to the state. The tax is built into the price you pay, though it appears as a line item on your receipt so you can see how much tax was added.

Key Takeaways

• Louisiana's base sales tax is 4.45 percent, but your total rate also includes local parish and municipal taxes that vary by location.
• Most tangible goods are taxable, including clothing, groceries, and household items, though some categories have exemptions.
• Services are generally not taxed in Louisiana unless they are specifically listed in the tax code, such as hotel stays and car rentals.
• The merchant collects and remits the tax, so you do not need to file anything or contact the state as a consumer.

What the statewide 4.45 percent rate includes

The 4.45 percent is Louisiana's statewide base rate. It applies everywhere in the state. On top of this, each parish adds its own local sales tax, and some municipalities add an additional layer. For example, Orleans Parish (which includes New Orleans) adds 4.5 percent in local tax, bringing the total to 8.95 percent. Caddo Parish (Shreveport) adds 2.45 percent, for a total of 6.9 percent. These rates change when parishes or cities vote to adjust their local tax, so the total you pay depends entirely on your location.

You can find the exact rate for your parish and municipality on the Louisiana Department of Revenue website or by calling the department. Many retailers also display the total tax rate at checkout or on their website before you complete a purchase.

Which goods and services are taxed

Most tangible goods — items you can touch and take home — are subject to sales tax in Louisiana. This includes clothing, groceries, household goods, electronics, furniture, and vehicles. When you buy a car, the sales tax is calculated on the purchase price and collected at the time of sale or when you register the vehicle with the state.

Services are generally not taxed unless they fall into specific categories listed in the tax code. Hotel stays are taxed. Car rentals are taxed. Repairs to tangible goods — such as fixing your car or repairing your appliances — are taxed. Haircuts and salon services are taxed. However, services like accounting, legal information, and medical services are not taxed. The rule is narrow: if it is not specifically listed as a taxable service, it is not taxed.

Some goods have exemptions. Prescription medications are not taxed. Certain medical devices and equipment used by people with disabilities may be exempt. Some agricultural equipment and supplies used in farming are exempt. Food purchased for home consumption — groceries — is taxed at the full rate in Louisiana, unlike some states that tax groceries at a lower rate or not at all.

How local taxes stack on top of the state rate

Louisiana allows parishes and municipalities to add their own sales taxes on top of the statewide 4.45 percent. A parish might add 2 percent, and a city within that parish might add another 1 percent, so your total could be 7.45 percent. These local taxes are collected by the merchant at the same time as the state tax and sent to the local government.

The reason for this structure is that local governments use sales tax revenue to fund schools, roads, police, and other services. When you see a higher tax rate in one city than another, it usually reflects a local decision to fund specific projects or services. Some parishes have voted to increase their local sales tax temporarily to build a new school or repair infrastructure, then lower it when the project is complete.

What happens when you buy online or from out of state

If you order something online from a retailer that has a physical presence in Louisiana (a store, warehouse, or office), that retailer must collect Louisiana sales tax on your order, even if you are shipping to another state. If you order from a retailer with no physical presence in Louisiana, the retailer may not collect Louisiana tax, but you may owe use tax instead — a tax you pay directly to Louisiana on out-of-state purchases.

In practice, most consumers do not file use tax returns. Use tax is meant to explore to large purchases or regular out-of-state buying, but enforcement is limited. If you are buying a car or other high-value item from out of state and bringing it to Louisiana, you will owe sales tax or use tax when you register it with the state. For everyday online purchases, check whether the retailer collected tax at checkout — most major retailers now do, regardless of where they are based.

How to find the exact tax rate for your location

The Louisiana Department of Revenue maintains a sales tax rate lookup tool on its website. You enter your parish and municipality, and the tool shows you the current combined rate. You can also call the department's taxpayer information line to ask about the rate in your area.

If you are shopping in a different parish than where you live, the tax rate that applies is the rate where the sale takes place, not where you live. If you buy something in Baton Rouge but live in Lafayette, you pay Baton Rouge's tax rate. This matters most when you are making a large purchase and want to know the exact total before you go to the store.

Common items and whether they are taxed

Item	Taxed?	Notes
Groceries	Yes	Full sales tax applies to food purchased for home consumption
Prescription medications	No	Exempt from sales tax
Over-the-counter medicine	Yes	Taxed as a regular good
Clothing	Yes	Full sales tax applies
Haircut	Yes	Personal services are taxed
Hotel stay	Yes	Lodging is taxed; rate may vary by parish
Car rental	Yes	Rental services are taxed
Legal information	No	Professional services are generally not taxed
Vehicle purchase	Yes	Sales tax collected at sale or registration

Frequently Asked Questions

Why is my sales tax different from the person next to me at checkout?

You may live or shop in different parishes or municipalities, each with different local tax rates. Even two stores on opposite sides of a parish line can have different total tax rates. The tax rate that applies is always the one where the sale physically takes place.

Do I pay sales tax on used items?

Yes, sales tax applies to used goods sold by a merchant, just as it does to new goods. If you sell a used item to a friend or neighbor privately, no sales tax is collected. But if you buy a used car from a dealer or used furniture from a store, sales tax applies.

Is there a sales tax on services like plumbing or electrical work?

Services that involve repair or installation of tangible goods are taxed. If a plumber fixes your pipes, the labor is taxed. However, the rate and rules can vary, so ask the contractor whether tax will be added to your bill before work begins.

What if a store charged me the wrong tax amount?

Check your receipt against the current tax rate for your parish. If the store overcharged you, you can ask the store manager to correct it. Overcharges are usually refunded at the register. If you believe a store is consistently charging the wrong rate, you can report it to the Louisiana Department of Revenue.

Do I owe Louisiana sales tax on items I buy while traveling out of state?

No. You owe sales tax to the state where you make the purchase. If you buy something in Texas, you pay Texas sales tax (or no tax, depending on what you buy). You do not owe Louisiana tax on out-of-state purchases unless you bring a high-value item like a vehicle into Louisiana later, in which case you may owe use tax at registration.