Here’s what you need to know about how the State of Louisiana taxes your income, what deductions and credits are available, and how estate and inheritance taxes are applied in 2025.
Louisiana income tax rate & structure
- Starting in 2025, Louisiana has switched to a flat 3.0 % individual income tax rate for all taxable income.
- The prior graduated brackets are repealed under Act 11 of 2024.
- A new standard deduction is established: $12,500 for single (or married filing separately), and $25,000 for married filing jointly / head of household.
- Estates and trusts likewise are taxed at 3 % (flat) for Louisiana-source tax years.
Louisiana tax deductions and credits
- Because of the simplification, many previous deductions or credits may have been adjusted; the new law emphasizes the new standard deduction.
- Louisiana also may allow certain itemized deductions or exemptions (e.g. for retirement income, deductions for dependents).
- For pass-through entities (S corps etc.), if they opt to be taxed as C entities, the same 3 % rate applies.
Louisiana estate and inheritance taxes
- Louisiana does not impose a state inheritance tax (it was repealed).
Louisiana tax deadlines
- Louisiana personal income tax return is due May 15, 2025 for 2024 taxable year.
- Extensions: automatic 6-month extension to file (until Nov 17, 2025) but payment still due May 15.
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