Get R-1367 (7/18)

Interstate commerce is the general term for transacting or transportation of products, services, or money across state borders.

If the declarations are not made, the carrier's services are taxable at 5%, 13%, or 15% and the carrier has to collect the GST/HST on the freight transportation services provided in Canada, unless interlining applies (see If the freight transportation service has an interlining agreement).

Sales tax 101 Louisiana first adopted a general state sales tax in 1938, and since that time, the rate has risen to 4.45 percent. On top of the state sales tax, there may be one or more local sales taxes, as well as one or more special district taxes, each of which can range between 0 percent and 7 percent.

Sales Tax Exemption Louisiana exempts free hospitals from sales tax. (A “free hospital” is one that “does not charge any patients for health care provided by the hospital.”) The exclusion applies to sales of supplies, equipment, and services that are “reasonably necessary for the operation of free hospitals.”

Services in Louisiana are generally not taxable, with important exceptions: furnishing of sleeping rooms by hotels. sale of admissions to places of amusement and to athletic and recreational events, and the furnishing of privileges of access to amusement, entertainment, athletic, or recreational facilities.

In Louisiana, sales tax is required to be collected from tangible, physical products sold to a consumer. For example, food sold for preparation and consumption in the home is tax exempt at the state level, though counties and other local jurisdictions may levy a tax.

Common consumer-related exemptions include: Food for home consumption; Utilities such as electricity, natural gas and water; Drugs prescribed by a physician or dentists; and.

Individuals in Louisiana are responsible for paying use tax on an out-of-state purchase when the item purchased is subject to the Louisiana sales tax and the retailer making the sale does not collect sales tax on the sale.

(1) The sales and use tax imposed by the state of Louisiana or any of its local political subdivisions shall not apply to trucks with a gross weight of twenty-six thousand pounds or more and to trailers if such trucks and trailers are used at least eighty percent of the time in interstate commerce and whose activities ...