Louisiana Income Tax Calculator 2026

Louisiana’s 3% flat tax since 2025

Louisiana replaced its three graduated brackets with a single 3% rate starting with tax year 2025 (Act 11 of the 2024 Third Extraordinary Session). For 2026 you subtract a standard deduction of $12,875 (single or married filing separately) or $25,750 (married filing jointly, head of household or qualifying surviving spouse) and pay 3% on the rest.

The same law repealed the extra $1,000 deductions for people 65 and older, the blind and each dependent, and eliminated several older credits. The trade-off is a much larger standard deduction, so most families pay less than under the old system even without the dependent deduction.

Worked example: family of four with $80,000

A married couple with two children and $80,000 of wages subtracts the $25,750 standard deduction, leaving $54,250 of taxable income. At 3%, Louisiana tax is $1,628, or 2.03% of gross income. The children do not change the result, because Louisiana no longer has a dependent deduction; family-related relief comes through credits instead.

Retirement income: what Louisiana exempts

Louisiana exempts several kinds of retirement income, and the general exclusion for older taxpayers doubled with the reform.

• Annual retirement income exemption: up to $12,000 of pension, annuity or IRA distributions per person for taxpayers 65 or older (up from $6,000). On a joint return each spouse who is 65+ and receives retirement income can exclude up to $12,000.
• Louisiana State Employees’ Retirement System and Teachers’ Retirement System benefits are exempt.
• Federal retirement benefits, including military survivor benefit plan payments, are exempt.
• Interest on U.S. government obligations is exempt.
• Social Security benefits that are taxed on your federal return are exempt from Louisiana tax and subtracted on the IT-540.

Credits worth checking

Louisiana kept a Louisiana Earned Income Credit (LA EIC) for workers who claim the federal EIC, a refundable child care credit, and school readiness credits tied to children in quality-rated child care. Child care and school readiness credits for taxpayers with federal AGI over $25,000 are not refundable, but unused amounts carry forward for five years.

Deadline, extensions and residency

Louisiana’s individual deadline is May 15, a month later than the federal date, so the 2026 Form IT-540 is due May 15, 2027. You do not need to request an extension: Louisiana automatically grants six more months to file, and no paper or electronic extension form is needed. Tax still has to be paid by May 15, with Form R-2868V if you are paying by voucher, to avoid interest and penalties.

Nonresidents with Louisiana income file Form IT-540B. Part-year residents can choose either the resident or nonresident return, whichever is more beneficial, and married couples must use the same filing status they used federally.