Louisiana – Confusion Over Sales Tax Increase

SALT Report 3799 – Are they in effect, or not? This is the question on some people’s minds regarding the recent tax increases.

But according to Deborah Randolph with the Cenla Chamber of Commerce most of the sales taxes have already begun.

“The additional penny went into effect on April first,” said Randolph. So that is why when people are going to the store they are seeing a difference in their purchases with the sales taxes.”

The sales tax is being put in place for all businesses, but some are being affected more than others. The employees at Hokus Pokus on Jackson Street told us the tax has had very little effect on business.

“Because it was such a small increase, and because liquor is viewed more as a necessity we haven’t seen really a decrease of business at all,” said Scott McCoy, Manager of Hokus Pokus.

However, for businesses selling bigger products, it is a different story. Employees at Hixson Autoplex told us they have seen some changes.

“It makes it a little more hesitant for people, because when the sales tax increases that much you wouldn’t think one percent would make a huge difference, but it actually does,” said Tyler Jeffrey, Sales Manager at Hixson Autoplex.

If all this has not been confusing enough, just be prepared for more taxes that could come out of a special session the governor plans to call for this summer.

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