VATupdate

Share this post on

Louisiana Enacts Comprehensive Sales Tax Overhaul Impacting Digital Products and Expanding Exemptions

  • Louisiana enacted significant sales tax changes with House Bill 578, effective July 1, 2025
  • Digital products now count toward the $100,000 economic nexus threshold for foreign and e-commerce sellers
  • Sales and use tax exemptions expanded for nonprofits, sickle cell organizations, Habitat for Humanity, and certain medical and government entities
  • Healthcare-related exemptions now include digital products and software for licensed providers, effective January 1, 2025
  • Construction industry exemptions for purchases on behalf of state and local governments, effective July 1, 2025
  • Broadened definition of vessel for tax exemptions, including software and digital products used in operations, effective July 1, 2025
  • Repairs to tangible personal property shipped out of state exempt from state sales tax starting January 1, 2025
  • Adaptive driving equipment exempt from state and local tax starting July 1, 2025
  • Companies must monitor for crossing economic nexus thresholds due to these changes

Source: salestaxinstitute.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.



Sponsors:

Pincvision

Advertisements:

  • Pincvision