Sales Tax Changes
In the 2016 First Extraordinary Session of the Legislature ending March 9, 2016, the Louisiana Legislature enacted changes to the state sales tax with House Bill 61 and House Bill 62. Since the changes are effective on April 1, 2016, please be aware of the changes to assist you in determining the impact to your specific business.
There are two major changes taking place:
- Several states sales tax exemptions and exclusions are being eliminated, and
- An additional 1% sales and use tax rate is being implemented from April 1, 2016 to March31, 2019.
The Louisiana Policy Services Division has released Revenue Information Bulletins (RIBs) to communicate the details. The tax exemption changes are defined in RIB 16-012, and the details of sales tax increase are defined in RIB-16-013. Please take time to read through each of these bulletins to understand the new laws and more importantly, assess the impact to your specific business.
If you have any questions, please contact one of our professionals.