Louisiana LLC Tax Filing: Rates & Forms (2026)

Q: How is a Louisiana LLC taxed?

By default, a Louisiana LLC is taxed by its federal classification. A single-member LLC is a disregarded entity reported on the owner's Schedule C, and a multi-member LLC is a partnership that files Form 1065. Profits pass through to the members, who pay Louisiana's flat 3% individual income tax. An LLC can instead elect to be taxed as an S corporation or C corporation.

Q: What is the Louisiana income tax rate for an LLC?

For tax years beginning on or after January 1, 2025, Louisiana taxes individual income at a flat 3%, so pass-through LLC profits are taxed at 3% on each member's return. An LLC taxed as a corporation pays the flat 5.5% Louisiana corporation income tax instead.

Q: Does a Louisiana LLC need to collect sales tax?

If your LLC sells taxable goods or certain services in Louisiana, you must register as a dealer with the Louisiana Department of Revenue and collect the 5% state sales tax, plus applicable local sales tax. Sales tax returns are generally filed on Form R-1029 through the LaTAP portal.

Q: When are Louisiana LLC tax returns due?

Louisiana individual income tax returns (Form IT-540), which report pass-through LLC income, are due May 15 for calendar-year filers. A corporation income tax return (Form CIFT-620) is due on the 15th day of the fifth month after the tax year ends, which is May 15 for calendar-year LLCs taxed as corporations.

Q: Can a Louisiana LLC elect S-corp status?

Yes. An eligible Louisiana LLC can elect S corporation treatment by filing IRS Form 2553. The LLC then files Form 1120-S federally and the income flows to the members, who report it on their Louisiana individual returns. Louisiana recognizes the federal S election through its conformity rules.

Fact-checked by the LegalGlass editorial team against primary sources · Published Aug 6, 2026 · Last updated Aug 6, 2026

A Louisiana LLC is taxed by its federal classification: a single-member LLC reports on Schedule C, a multi-member LLC files Form 1065, and the profits pass through to the members, who pay Louisiana's flat 3% individual income tax. An LLC that elects corporate status instead pays the flat 5.5% Louisiana corporation income tax, and the state's corporation franchise tax was repealed for periods beginning on or after January 1, 2026.

Quick Answer

Federal default: Disregarded entity (single-member) or partnership (multi-member)
State income tax: Flat 3% individual; flat 5.5% corporation (2025+)
Franchise tax: Repealed for periods on/after Jan 1, 2026
Sales tax: 5% state rate; register as a dealer with LDR
Key state forms: IT-540 (individual), CIFT-620 (corporation), R-1029 (sales)
Individual return due: May 15 (calendar-year filers)

How a Louisiana LLC Is Taxed

An LLC is a state-law entity, not a federal tax category. For tax purposes, the IRS looks through the LLC to a default classification, and Louisiana then follows that federal treatment. So the first question in any Louisiana LLC tax return is: how is the LLC classified federally? The answer drives which federal return you file and how the income reaches your Louisiana return. This guide walks through the default rules, the elections available, and each Louisiana tax an LLC may owe. For the national picture, start with the business tax overview and how to file business taxes.

There are effectively four ways a Louisiana LLC can be taxed at the federal level: disregarded entity, partnership, S corporation, or C corporation. The first two are the automatic defaults; the last two require an election. Whatever the classification, most LLC owners still need a federal EIN to file employment and excise returns, open a bank account, and register for Louisiana tax accounts.

Federal Default Classification

By default, the IRS treats a domestic single-member LLC as a disregarded entity. The LLC files no separate federal income tax return; instead, the owner reports the LLC's business income and expenses on Schedule C of the owner's Form 1040 (or Schedule E or F for rental or farm income). A multi-member LLC is taxed as a partnership and files Form 1065, issuing each member a Schedule K-1 that reports the member's share of income to carry onto their individual return.

Either way, the income is not taxed at the LLC level federally - it "passes through" to the owners. Owners who are active in the business generally also owe federal self-employment tax (Social Security and Medicare) on their share of the profit, reported on Schedule SE, and most owners make quarterly estimated tax payments because no employer is withholding for them. The default rules come from the federal "check-the-box" regulations at 26 CFR 301.7701-3. See Schedule C and Form 1065 vs 1120-S vs 1120 for the return-by-return detail.

Electing S-Corp or C-Corp Status

An LLC can change its federal tax treatment by making an election. To be taxed as a C corporation, the LLC files Form 8832 and then files Form 1120. To be taxed as an S corporation, an eligible LLC files Form 2553 and then files Form 1120-S; S-corporation income still passes through to the members via Schedule K-1, but members who work in the business can be paid a reasonable W-2 salary, potentially reducing self-employment tax on the remaining profit. The eligibility rules for an S corporation are set by 26 U.S.C. 1361.

An S election is not automatically better - it adds payroll filings and a separate return, and it only pays off above a certain profit level. Weigh it with S-corp vs LLC, the LLC vs S-corp tax comparison, LLC or S-corp, and Form 2553 explained. Louisiana conforms to the federal S election, so an LLC taxed as an S corporation federally is treated the same way for Louisiana income tax.

Louisiana Individual Income Tax (Pass-Through)

Most Louisiana LLCs are pass-through entities, so the state tax is paid by the members on their individual returns. For tax years beginning on or after January 1, 2025, Louisiana taxes individual income at a flat 3% rate - the 2024 tax reform replaced the old graduated brackets with a single flat rate. A member reports their share of LLC profit on the Louisiana resident individual return, Form IT-540 (or Form IT-540B for nonresidents), which is due May 15 for calendar-year filers.

A multi-member LLC that has nonresident members may also need to file a composite partnership return, Form R-6922, to report and pay Louisiana tax on the nonresident members' shares, and Louisiana offers an elective pass-through entity tax that some LLCs use to pay the tax at the entity level. Because those elections interact with federal deductions, confirm the current rules with the Louisiana Department of Revenue or a tax professional before relying on them. For how the entity was set up, see how to form an LLC in Louisiana.

Louisiana Corporation Income Tax and the Repealed Franchise Tax

If your LLC elects to be taxed as a corporation (C corporation, or S corporation that owes entity-level Louisiana tax), it files the Louisiana corporation return, Form CIFT-620. Louisiana taxes corporation income at a flat 5.5% rate for tax years beginning on or after January 1, 2025 - again a flat rate replacing the former brackets. The corporation income tax return is due on the 15th day of the fifth month after the close of the tax year, which is May 15 for a calendar-year corporation.

The bigger change for corporate filers is the repeal of the Louisiana corporation franchise tax. The franchise tax, historically imposed on corporations and LLCs taxed as corporations based on capital, was repealed for franchise tax periods beginning on or after January 1, 2026. That means an LLC taxed as a corporation no longer files or pays the franchise-tax portion of the old CIFT-620 for 2026 and later periods. Pass-through LLCs never owed franchise tax on their members' income in the first place. Compare Louisiana's approach with Texas LLC tax filing, which still uses a franchise tax.

Louisiana Sales and Use Tax

Louisiana imposes a state sales and use tax on retail sales of tangible personal property and certain services. The state rate is 5% for 2025 through 2029, and local parishes and municipalities add their own sales tax on top, so combined rates commonly run well above the state figure. If your LLC makes taxable sales, you must register as a dealer with the Louisiana Department of Revenue before you begin selling.

Registered dealers file sales tax returns - generally Form R-1029 - and remit the tax on a monthly or quarterly schedule through the state's LaTAP (Louisiana Taxpayer Access Point) portal. Louisiana also has a separate local sales tax administration in many parishes, so you may register and file with a parish collector as well as the state. There is no fee to obtain a Louisiana sales tax account. For the broader picture of licenses and permits, see business licenses in Louisiana and the national business license guide.

Payroll and Withholding Taxes

If your Louisiana LLC has employees - including a member paid a W-2 salary after an S election - you must handle payroll taxes. Federally, that means withholding income tax, Social Security, and Medicare, depositing those amounts, and filing Form 941 and Form 940. In Louisiana, you register for a withholding tax account with the Department of Revenue, withhold Louisiana income tax from wages, and remit it on the required schedule, filing Form L-1 periodically and Form L-3 with the annual W-2 reconciliation.

You will also register with the Louisiana Workforce Commission for state unemployment insurance if you have employees. An LLC with no employees and no corporate election generally has no Louisiana payroll filings - its owners simply pay through estimated payments and their individual returns. See when business taxes are due to build your filing calendar and how to get an EIN for an LLC if you are hiring for the first time.

Key Forms and Due Dates

The forms your Louisiana LLC files depend on its classification. The table below summarizes the common federal and Louisiana returns and their calendar-year due dates. Confirm current dates and thresholds with the IRS and the Louisiana Department of Revenue, because filing dates that fall on a weekend or holiday shift to the next business day.

Classification	Federal return	Louisiana return	Due (calendar year)
Single-member (disregarded)	Schedule C with Form 1040	Form IT-540	Apr 15 federal / May 15 state
Multi-member (partnership)	Form 1065 + K-1s	IT-540 (members); R-6922 composite	Mar 15 (1065) / May 15 (IT-540)
S corporation election	Form 1120-S + K-1s	IT-540 (members)	Mar 15 (1120-S) / May 15 (IT-540)
C corporation election	Form 1120	Form CIFT-620	Apr 15 (1120) / May 15 (CIFT-620)
Sales tax (any dealer)	-	Form R-1029 (LaTAP)	Monthly or quarterly

To register for Louisiana tax accounts, most LLCs complete the business registration through geauxBIZ or the LaTAP portal, which sets up income withholding and sales tax accounts as needed. Keep your registered agent and annual report current so state notices about your tax accounts reach you, and budget for the fees covered in Louisiana LLC cost.

Frequently Asked Questions

How is a Louisiana LLC taxed?

By its federal classification. A single-member LLC is disregarded and reported on Schedule C; a multi-member LLC files Form 1065; and profits pass through to the members, who pay Louisiana's flat 3% individual income tax. The LLC can instead elect S- or C-corporation treatment. See what an LLC is.

What is the Louisiana income tax rate for an LLC?

For tax years beginning on or after January 1, 2025, individual income is taxed at a flat 3%, so pass-through LLC profit is taxed at 3% on each member's return. An LLC taxed as a corporation pays the flat 5.5% corporation income tax.

Does a Louisiana LLC pay franchise tax?

No. The Louisiana corporation franchise tax was repealed for franchise tax periods beginning on or after January 1, 2026, so LLCs taxed as corporations now pay only the flat 5.5% corporation income tax.

Does a Louisiana LLC need to collect sales tax?

Yes, if it sells taxable goods or services. Register as a dealer with the Louisiana Department of Revenue, collect the 5% state sales tax plus local tax, and file Form R-1029 through LaTAP.

When are Louisiana LLC tax returns due?

The Louisiana individual return (IT-540) is due May 15 for calendar-year filers, and the corporation return (CIFT-620) is due the 15th day of the fifth month after year-end - May 15 for calendar-year LLCs taxed as corporations.

Can a Louisiana LLC elect S-corp status?

Yes. File IRS Form 2553; the LLC then files Form 1120-S and income flows to members' Louisiana returns. Louisiana conforms to the federal S election.

Sources

IRS - Limited Liability Company (LLC) (federal default classification).
IRS - About Schedule C (Form 1040) (single-member/disregarded reporting).
IRS - About Form 1065, U.S. Return of Partnership Income.
IRS - About Form 2553, Election by a Small Business Corporation.
IRS - About Form 8832, Entity Classification Election.
IRS - About Form 1120-S, U.S. Income Tax Return for an S Corporation.
IRS - Get an Employer Identification Number (free EIN).
Louisiana Department of Revenue - Individual Income Tax (flat 3% for tax years on/after Jan 1, 2025; Form IT-540; May 15 due date).
Louisiana Department of Revenue - Corporation Income & Franchise Tax (flat 5.5% income tax; franchise tax repealed for periods on/after Jan 1, 2026; Form CIFT-620).
Louisiana Department of Revenue - General Sales & Use Tax (5% state rate; dealer registration; Form R-1029).
Louisiana Department of Revenue - Withholding Tax (employer withholding; Forms L-1 and L-3).
Legal Information Institute - 26 CFR 301.7701-3, Classification of certain business entities (check-the-box rules).
Legal Information Institute - 26 U.S.C. 1361, S corporation defined.
Legal Information Institute - 26 U.S.C. 1402, Definitions (self-employment tax).

LegalGlass provides general information for educational purposes and is not a law firm or a substitute for advice from a licensed attorney or tax professional. Tax laws, rates, and thresholds change; verify current requirements with the IRS and the Louisiana Department of Revenue before acting.