Louisiana State Income Tax Rates and Rules
Understand Louisiana's income tax rules, from calculating taxable income with state-specific adjustments to determining your final tax liability.
Louisiana’s state income tax is a system for collecting revenue from the earnings of individuals and entities within the state. This tax applies to income generated by those who live in Louisiana, as well as income earned within the state’s borders by people who reside elsewhere. The funds collected through this tax contribute to the state’s budget, supporting public services and infrastructure. The structure of the tax is based on a percentage of an individual’s or entity’s taxable income. All individuals and businesses with income subject to this tax are required to report their earnings and calculate their tax liability according to the regulations set forth by the Louisiana Department of Revenue.
Louisiana Filing Requirements
Determining whether you need to file a Louisiana income tax return depends on your residency status and whether you are required to file a federal return. The state defines three categories of residency: full-year residents, part-year residents, and non-residents. A full-year resident is someone who considers Louisiana their permanent home for the entire year. Part-year residents are individuals who move into or out of Louisiana during the tax year, and non-residents are those who do not live in Louisiana but earn income from sources within the state.
If you are required to file a federal income tax return, you must also file a Louisiana return as a resident, or as a part-year or non-resident with income from Louisiana sources. A state return must also be filed to claim a refund for overpaid taxes or to receive certain tax credits.
Calculating Your Louisiana Taxable Income
The calculation of your Louisiana taxable income begins with your federal Adjusted Gross Income (AGI), which is found on your federal income tax return. The state allows for certain subtractions from your federal AGI to arrive at your Louisiana-specific income amount. Common subtractions include Social Security benefits that were included in your federal AGI, as these are exempt from Louisiana income tax.
After making all applicable subtractions, you arrive at your Louisiana AGI. From this amount, you can then subtract either the Louisiana standard deduction or your itemized deductions. For the 2025 tax year, the combined personal exemption and standard deduction is $4,500 for individuals with a filing status of single, married filing separately, or head of household. For those married filing jointly or qualifying widow(er), the amount is $9,000.
Taxpayers have the option to itemize their deductions on their Louisiana return if the total of their itemized deductions exceeds their standard deduction amount. For example, the state and local tax (SALT) deduction is limited at the federal level, but Louisiana allows a deduction for it on the state return.
Louisiana Tax Rates and Credits
For tax years beginning on or after January 1, 2025, Louisiana uses a flat tax system. A single tax rate of 3% is applied to all taxable income, regardless of the amount. This replaces the previous graduated-rate structure. Additionally, the deduction for federal income taxes paid is eliminated for the 2025 tax year and beyond.
After calculating your initial tax, you may be able to reduce the amount you owe by claiming tax credits. Unlike deductions, which reduce your taxable income, credits reduce your tax liability on a dollar-for-dollar basis. Louisiana offers several nonrefundable credits to individuals. Common credits include those for certain educational expenses for dependents and for child care expenses.
Filing and Paying Your Louisiana Taxes
The most common method for filing is electronic filing, which can be done through the Louisiana Department of Revenue’s free online portal, Louisiana File Online, or by using approved commercial tax preparation software. Alternatively, you can choose to file a paper return by mail. The necessary forms can be downloaded from the Louisiana Department of Revenue website and should be mailed to the address specified in the form instructions.
If you have a balance due, payment can be made through several options. Electronic payments can be made directly from your bank account or you can pay using a credit or debit card through one of the state’s authorized payment processors. If you are filing by mail, you can include a check or money order with your return.
The annual deadline for filing your Louisiana income tax return and paying any tax owed is May 15th. Louisiana provides an automatic six-month extension to file a return, so a request is not necessary. However, this is only an extension of time to file, not an extension of time to pay any tax due.