New Orleans, LA Taxes 2025
Complete local tax guide and OBBBA calculator
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New Orleans Tax Overview 2025
Major tourism and hospitality hub. Unique culture and cuisine.
Local Income Tax
0%
City/county rate
Sales Tax
9.45%
State + local
Property Tax
0.57%
Effective rate
Median Home
$260,000
Home value
No Local Income Tax!
New Orleans does not impose a local income tax on residents, which means you only pay state income tax (if applicable) and federal taxes.
State Tax Information
New Orleans is located in Louisiana (1.85% - 4.25% state income tax)
💼 New Orleans Local Income Tax
New Orleans does not impose a local income tax on residents. Your income tax obligations are limited to state income tax (if applicable in Louisiana) and federal income tax.
This is good news for New Orleans residents, as it means one less tax to worry about compared to cities that do impose local income taxes.
Total Income Tax Burden in New Orleans
🛒 New Orleans Sales Tax 2025
The combined sales tax rate in New Orleans is 9.45%. This includes both the Louisiana sales tax and any local sales taxes.
Sales tax applies to most retail purchases in New Orleans. Some items like groceries, prescription medications, and clothing may be exempt or taxed at reduced rates depending on Louisiana law.
Sales Tax Breakdown
Sales Tax Examples
| Purchase Amount | Sales Tax | Total |
|---|---|---|
| $50 | $4.73 | $54.73 |
| $100 | $9.45 | $109.45 |
| $500 | $47.25 | $547.25 |
| $1,000 | $94.50 | $1,094.50 |
🏠 New Orleans Property Tax 2025
The average effective property tax rate in New Orleans is 0.57%. Based on the median home value of $260,000, the typical homeowner pays approximately $1,482 per year in property taxes.
Property taxes fund local services including schools, police, fire departments, roads, and parks. Rates vary by specific location within New Orleans based on school district and other taxing authorities.
Estimated Annual Property Tax in New Orleans
| Home Value | Annual Tax | Monthly | SALT Deductible? |
|---|---|---|---|
| $200,000 | $1,140 | $95 | ✓ Yes |
| $300,000 | $1,710 | $143 | ✓ Yes |
| $400,000 | $2,280 | $190 | ✓ Yes |
| $500,000 | $2,850 | $238 | ✓ Yes |
| $750,000 | $4,275 | $356 | ✓ Yes |
| $1,000,000 | $5,700 | $475 | ✓ Yes |
💡 SALT Tip: Under the OBBBA, you can deduct up to $40,000 in state and local taxes (SALT) on your federal return. This includes property taxes, state income taxes, and local income taxes.
💰 New Orleans Cost of Living
Housing Costs
Tax Summary
OBBBA Tax Benefits for New Orleans Residents
Restaurant, hotel, and entertainment workers benefit greatly from tips deduction.
The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, introduced several federal tax deductions that can significantly reduce your tax burden as a New Orleans resident.
Available OBBBA Deductions:
Calculate Your New Orleans Tax Savings
Use our free OBBBA calculator to see exactly how much you could save on your 2025 federal taxes as a New Orleans resident.
Calculate My SavingsFrequently Asked Questions
What is the sales tax in New Orleans?
The combined sales tax rate in New Orleans is 9.45%. This includes both state and local sales taxes.
Does New Orleans have a local income tax?
New Orleans has a local income tax of 0%. This is in addition to any state and federal income taxes.
What is the property tax rate in New Orleans?
The average effective property tax rate in New Orleans is 0.57%. On a home worth $260,000, you'd pay approximately $1,482 per year.
How do OBBBA deductions benefit New Orleans residents?
Restaurant, hotel, and entertainment workers benefit greatly from tips deduction. You can use our free calculator to estimate your total savings from tips, overtime, auto loan interest, SALT, and senior bonus deductions.