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How Louisiana Handles Tax on Shipping

How Louisiana handles tax on shipping: delivery is taxable when taxable items ship and exempt when all items are exempt; handling charges are always taxable.
Updated last year

In Louisiana, shipping charges are generally taxable if they’re part of the sale of taxable goods.


General Rule

Taxable: Delivery charges are taxable when taxable items are shipped.

Exempt: If all items in the shipment are exempt, delivery may also be exempt.


Handling Charges

Handling, packing, or combined “shipping & handling” fees are always taxable.


Best Practices for Compliance

  • Separate delivery charges on invoices for transparency.
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  • Be cautious with mixed orders — if taxable items are included, shipping becomes taxable.
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Example

  1. Selling taxable furniture for $500 with $50 delivery → $50 is taxable.
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  2. Selling exempt groceries for $500 with $50 delivery → $50 is exempt.
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Stay Compliant with Kintsugi

Louisiana’s rules align shipping taxability with the items sold. Kintsugi Intelligence ensures shipping charges are properly applied, even in mixed orders.


⚖️ Important Notice: Sales tax regulations are subject to change without prior notice. For guidance tailored to your business, please consult a qualified tax advisor.

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