
Across the state, we hear from businesses, large and small, about the burden placed on our job creators by the state’s complicated, unfair and outdated state and local sales tax collection system. Over the years, across multiple administrations, LABI has led the push for a centralized system—something every other state implements. This puts Louisiana at a distinct disadvantage.
Louisiana businesses spend too much time navigating 50+ local sales tax collectors, while out-of-state sellers enjoy a single, centralized system. Streamlining sales tax reduces costs, improves compliance and makes Louisiana more competitive—helping local businesses grow and thrive.
Yesterday, our partners at One Acadiana spotlighted this important issue in their newsletter—dedicating this week’s edition entirely to centralized sales tax collection. LABI’s Jim Patterson, Senior Vice President of Government Relations, joined Andre Breaux, One Acadiana’s Vice President of Policy & Strategic Initiatives, for 2 Minutes That Matter—a video series aimed at informing stakeholders on important business topics.
“We find ourselves on an island,” Patterson said. “It is not a good look, and it is one of the major impediments to industrial and other business development in this state. The only way that we’re going to get ourselves taken seriously is if we were to pass this legislation.”
The legislation mentioned is due up in the House Ways & Means Committee next Monday, March 23. Rep. Josh Carlson (R-Lafayette) has authored HBs 620 and 658 to address Louisiana’s onerous system. Both of these measures are LA Driven approved.
HB 620 is a Constitutional Amendment that, if approved by voters, would move the responsibility of collecting local sales tax from individual parishes to the Department of Revenue—thus streamlining the process. Should the majority of voters support the CA, the state would begin handling local sales tax collection beginning July 1, 2027. HB 658 contains the enacting statute for centralization and requires DOR to create policies and procedures for this change.
The Council on State Taxation (COST), a non-profit, tax organization representing taxpayers, has repeatedly joined calls for a simplified system in Louisiana. COST’s policy position supports a single, statewide administration to alleviate burdens of multiple returns, payments and audits.