Who must file
All corporations and entities taxed as corporations for federal income tax purposes deriving income from Louisiana sources, whether or not they have any net income, must file an income tax return. Corporations that obtain a ruling of exemption from the Internal Revenue Service must submit a copy of the ruling to the Department to obtain an exemption.
To determine if your corporation is liable for corporation income tax, complete Form R-4310, the Questionnaire To Assist in Determining Liability For Corporation Income Tax Or Corporation Franchise Tax.
Rate of Tax
Corporations will pay tax on net income computed at the following rates:
Four percent on the first $25,000 of net income
Five percent on the next $25,000
Six percent on the next $50,000
Seven percent on the next $100,000
Eight percent on the excess over $200,000
Date tax due
Returns and payments are due on or before the 15th day of the fourth month following the close of an accounting period (April 15 for a calendar year).
Who must file
Any corporation meeting any of the following provisions, unless specifically exempted under the provisions of R.S. 47:608, must file a Louisiana corporation franchise tax return:
-- Organized under the laws of Louisiana.
-- Qualified to do business in this state or doing business in this state.
-- Exercising or continuing the corporate charter within this state.
-- Owning or using any of the corporate capital, plant, or other property in this state in a corporate capacity.
To determine if your corporation is liable for corporation franchise tax, complete Form R-4310, the Questionnaire To Assist in Determining Liability For Corporation Income Tax Or Corporation Franchise Tax.
Rate of Tax
$1.50 for each $1,000 or major fraction thereof up to $300,000 of capital employed in Louisiana, and $3 for each $1,000 or major fraction thereof in excess of $300,000 of capital employed in Louisiana. The initial corporation franchise tax is $10. For information concerning capital employed in Louisiana and computation of the tax, see the instructions for Forms ICFT-620 and 620A.
Date returns due
Initial return: An initial return covering the period beginning with the date the corporation first becomes liable for filing a return and ending with the next close of an accounting period must be filed on or before the 15th day of the third month after the corporation first becomes liable.
Annual return: Louisiana corporation franchise tax accrues on the first day of each accounting year, and the return for that period must be filed on or before the 15th day of the fourth month of that accounting year.
For details, visit the Louisiana Department of Revenue website.