2025 Louisiana Sales and Use Tax Law Amendments Overview

• Louisiana Governor Jeff Landry signed new tax legislation on December 4, 2024
• The legislation impacts sales and use tax laws effective from January 1, 2025
• Changes include an increase in the state sales and use tax rate from 4.45% to 5%
• Additional 5% state sales tax imposed on telecommunications and related services
• Reduction in vendor compensation for tax collection from $1,500 to $750 monthly
• Local vendor compensation requirements repealed
• Modifications required in local tax returns for separate reporting of prescription drugs and manufacturing equipment sales
• Expansion of the tax base to include digital products like digital books, games, and other digital content
• Some transactions previously exempt or excluded from sales tax are now taxable

Source: dmainc.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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