Starting a service business in Louisiana comes down to four things: picking a structure, registering with the state, getting licensed for your trade, and setting up a way to bill customers. Filing an LLC in LA costs $100, ongoing reporting is $35/yr, sales tax is 4.45% + local (complex), and personal income tax runs 1.85%–4.25%. Below is the full sequence, the fees you should budget for, the licenses most trades need, and the deadlines that catch new Louisiana owners off guard.
Most new registrations come out of New Orleans, Baton Rouge, Shreveport — local business licenses are issued at the city or county level, so check yours after the state filing clears.
| Item | LA cost |
|---|---|
| LLC / entity filing (one-time) | $100 |
| Annual / periodic report | $35/yr |
| Federal EIN (IRS) | Free |
| Sales tax registration | Typically free |
| Trade / professional license | Varies by trade |
| Local business license | Set by city / county |
Fees change — confirm current amounts with the LA Secretary of State and the Louisiana Department of Revenue.
Choose your structure and file with the LA Secretary of State ($100). Get your free EIN from the IRS the same day.
Register for Louisiana sales tax with the Louisiana Department of Revenue, then open a business bank account under the registered name.
Apply for your trade license and local business license. This is usually the longest step: Sales tax registration; Professional/trade license.
Get general liability insurance (and workers' comp before your first hire), then set up estimates and invoicing so you can bill the day you're cleared to work.
LLC Filing Fee
$100
Annual Report
$35/yr
Sales Tax
4.45% + local (complex)
Income Tax
1.85%–4.25%
Choose business structure
File with LA Secretary of State
Get EIN
Register for state and parish taxes
Get local permits
Open business bank account
Louisiana has one of the most complex sales tax systems — state + parish + city
Use the LA Taxpayer Access Point (LaTAP) for tax filings
Multiple taxing jurisdictions (state, parish, city) each set their own rates, creating one of the most complex systems in the US.
Online LLC filings with the LA Secretary of State are typically processed in a few business days, and an EIN from the IRS is issued immediately online. Trade licensing and local permits usually take longest — plan on two to six weeks before you're fully cleared to work, depending on your trade.
No — you can operate as a sole proprietor in Louisiana and still invoice customers legally. An LLC ($100 to file, $35/yr) separates your personal assets from business liability, which matters most once you're on customer property, hiring help, or signing contracts.
Louisiana sales tax is 4.45% + local (complex). Materials and goods are commonly taxable, while labor treatment depends on the type of work, so bill parts and labor as separate lines and register with the Louisiana Department of Revenue before you start collecting.
Open a business bank account under the registered name, then invoice from a tool that applies LA tax per line item and accepts cards. Glo Invoice sends invoices by text with a one-tap pay link, and Tap to Pay lets you charge on site before you leave the job.