Louisiana Tax Guide
3%top marginal rate
Louisiana recently simplified its income tax to a flat 3% rate. The state has some of the lowest property taxes in the nation. However, combined local and state sales taxes can be among the highest in the country.
Louisiana Tax at a Glance
Income Tax
3%
Flat rate
Sales Tax
4.45%
State-level rate
Property Tax
0.55%
50% below the national average
Estate Tax
No
No state estate tax
How Louisiana Compares to the National Average
Notable Tax Facts
- Moved to a flat 3% income tax rate — one of the lowest flat rates nationally
- Combined state + local sales taxes can exceed 12% in some parishes — highest in the nation
- Very low property taxes at about 0.55% effective rate
- Homestead exemption protects the first $75,000 of home value from property tax
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Louisiana Tax FAQ
What is Louisiana's income tax rate?
Louisiana has a flat income tax rate of 3%, one of the lowest flat rates in the country. The state recently simplified from a progressive system.
Why is Louisiana's combined sales tax so high?
While the state rate of 4.45% is moderate, parishes (counties) and local jurisdictions add their own taxes. Combined rates can exceed 12% in some areas — the highest in the US.
Does Louisiana have low property taxes?
Yes. Louisiana's effective property tax rate of about 0.55% is among the lowest in the nation. A generous homestead exemption protects the first $75,000 of home value.
Does Louisiana tax Social Security?
No. Louisiana does not tax Social Security benefits.
Compare With Other States
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Educational content, not tax advice. Tax rates are approximate and subject to change. Consult a qualified CPA or tax professional for advice specific to your situation. Data reflects widely-known public information as of early 2026.