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Louisiana Trims Sales Tax Holidays

  • Apr 4, 2016 | Gail Cole

 Louisiana to trim sales tax holidays.

Updated 4.11.2016

There are usually three sales tax holidays in Louisiana: a hurricane preparedness holiday in May, a general sales tax holiday in August, and a Second Amendment tax-free period in September. But recent legislative changes are about to change all that.

The May tax-free period has been suspended for 2016. Moving forward, it will provide for a discounted rate of sales tax, not a full exemption. The 2016 August and September tax-free periods will also offer a reduction in sales tax instead of an exemption (The Advocate).

According to a Louisiana Department of Revenue publication, the reduced rate for all holidays occurring from July 1, 2016 through June 30, 2018 is 3%. Zero percent sales tax holidays resume for the period July 1, 2018 through March 31, 2019.

The reduction in sales tax could cause a compliance nightmare for retailers. Instead of charging no sales tax during the periods, which is complicated enough, they’ll have to alter the rate of tax.

Sales tax software (SaaS) simplifies management of sales and use tax at all times, even during challenging times such as these. Learn how it works.

Sales tax rates, rules, and regulations change frequently. Although we hope you'll find this information helpful, this blog is for informational purposes only and does not provide legal or tax advice.
Gail Cole
Avalara Author
Gail Cole
Gail Cole
Avalara Author Gail Cole
Gail began researching and writing about sales tax in 2012 and has been fascinated with it ever since. She has a penchant for uncovering unusual tax facts, and endeavors to make complex sales tax laws more digestible for both experts and laypeople.