LOUISIANA
community property state

 

Military Income:  Military personnel who are legal residents of LA may exclude up to $30,000 in military pay if they served 120 or more consecutive days on active duty outside the state.  This exclusion does not apply to LA residents assigned in the state.  Military personnel who are legal residents of LA are required to report all income regardless of where it is earned.

Military Spouse Residency Relief Act:  Service member in state in compliance with military orders. Spouse in state solely to be with service member. Spouse is not a resident or domiciliary of Louisiana. Submit copy of Military Spouse's ID Card, Service member's LES, Form DD 2058 and Record of service member's station assignments with the return.

Forms Used:           

Filing Status:  Same as federal. If one spouse is not a resident of Louisiana, they can file a resident or nonresident return, whichever is more beneficial. 

Attach Copy of Federal Return:  No

Not Taxed: 

Other State Tax Credit:  Available.  Attach copy of other state return. 

Where to Mail:

Dept of Revenue
PO Box 3440
Baton Rouge, LA  70823-3440

 
Refund Info:  1-888-829-3071 General Information:  (225) 219-0102
Forms:  (225) 219-2133 Electronic Filing: (225) 219-2490
Other Info:  
Department of Revenue
PO Box 201
Baton Rouge, LA 70821
Website:  www.rev.state.la.us
E-filing Info:  Retain LA 8453 for 3 years. 
Tax Form Instructions:
Resident Instructions Non-Resident Instructions

 

Filing Status Scenarios

1.  Taxpayer and Spouse Residents (Use also for Single Taxpayer)
2.  Taxpayer and Spouse Different States of Residence
3.  Taxpayer and Spouse Non-Residents
4.  Taxpayer Non-Resident - Spouse Part-Year Resident
5.  Taxpayer Married or Single - Resident but Income from Other State
6.  Amended Return

 

1.  Taxpayer and Spouse Residents (Use also for Single Taxpayer) - Taxpayer and spouse are both Louisiana residents, lived at their present location all year, and one or both had income.

Main Info Screen.

W-2 Form.  Louisiana excludes up to $30,000 in military pay if they served 120 or more consecutive days on active duty outside the state.  To exclude the military income properly you must check the Military box on the bottom of the W-2 form for the military member's income.

Louisiana IT-540 Form.  A joint resident Louisiana income tax return is prepared.

LA Res Wkt 1 - Schedule E & F Worksheet - Adjustments to Income.  Enter the applicable amount of excludable military pay on LA Res Wkt 1 as shown.

Complete all other fields and forms with red or required information.

2.  Taxpayer and Spouse - Different States of Residence - Taxpayer or spouse is a resident of Louisiana, while the other member is a resident of a different state.  A Louisiana income tax return must be prepared due to the taxpayer or spouse having Louisiana earned income.

Main Info Screen.  If one spouse is not a resident of Louisiana, they can file a resident or nonresident return, whichever is more beneficial.  For this example where the taxpayer is a resident of Louisiana while the spouse is a resident of North Dakota, a married filing jointly non resident return provides the lowest tax.

W-2 Form.  Louisiana excludes up to $30,000 in military pay if they served 120 or more consecutive days on active duty outside the state.  To exclude the military income properly you must check the Military box on the bottom of the W-2 form for the military member's income.

Louisiana IT-540 Form.  A joint nonresident Louisiana income tax return is prepared.

LA NPR Wkt - Louisiana NonResident and Part-Yer Resident (NPR) Worksheet - Adjustments to Income.  Enter the applicable amount of excludable military pay on line 24.

Complete all other fields and forms with red or required information.

3.  Taxpayer and Spouse Non-Residents - Taxpayer and spouse are residents of a different state.  The spouse and taxpayer must file a Louisiana tax return due to one or both having Louisiana earned income.

Main Info Screen.  If both members are residents of another state, the parties should file as nonresidents.  For this example, the taxpayer and spouse are both residents of Wisconsin but must file a Louisiana income tax return because the spouse worked in Louisiana.

Resident/Nonresident Worksheet.  Review form to ensure income is split correctly for the appropriate states. In order to comply with the Military Spouses Residency Relief Act, you need adjust the LA column to remove any of the military spouses wages, interest and dividends. Income such as rents, royalties, estates, trusts and partnerships earned with or derived from Louisiana sources is taxable to Louisiana.

Louisiana IT-540B Form.   A joint non-resident Louisiana income tax return should be prepared.  This form is also used to subtract out the other-states (Wisconsin) income. 

Review the remainder of the Louisiana Form IT-540B to ensure the other state income is being subtracted correctly.  Complete all other fields and forms with red or required information.

4.  Taxpayer Non-Resident - Spouse Part-Year Resident - Taxpayer and spouse moved to or from Louisiana during the tax year.  The taxpayer is a resident of a different state.  The Spouse is a part-year resident of Louisiana.  The Spouse and taxpayer must file a Louisiana tax return due to one or both of them having Louisiana earned income and possibly income from another state.

Main Info Screen.  For this example, the taxpayer is in the military and a resident of Indiana.  The taxpayer and spouse moved from Louisiana to North Dakota during the year.  The spouse was a resident of Louisiana but is now changing their residency to North Dakota for tax purposes.  The spouse therefore was a part-year resident of both Louisiana and North Dakota and must file a Louisiana income tax return because the spouse worked in Louisiana.

Part Year Resident States Worksheet.  Review form to ensure income is split correctly for the appropriate states.

Louisiana IT-540B Form.   A joint part-year resident Louisiana income tax return should be prepared.  This form will be generated for a Louisiana part-year resident who must report Louisiana earned income.  This form is also used to subtract out all the other-states (Indiana and North Dakota) income. 

Review the remainder of the Louisiana Form IT-540B to ensure the other state income is being subtracted correctly.  Complete all other fields and forms with red or required information.

5.  Married or Single Military Resident of Louisiana with Income from Another State  - Taxpayer is single.  The taxpayer must file a Louisiana tax return due to him or her having Louisiana earned income.

Main Info Screen.  For this example the taxpayer is a military member stationed in North Dakota but a resident of Louisiana.  The taxpayer had a job in North Dakota therefore having North Dakota earned income.

W-2 Form.  Louisiana excludes up to $30,000 in military pay if they served 120 or more consecutive days on active duty outside the state.  To exclude the military income properly you must check the Military box on the bottom of the W-2 form for the military member's income.

Resident/Nonresident Worksheet.  Review form to ensure income is split correctly for the appropriate states.

Louisiana IT-540 Form.  A resident Louisiana income tax return is prepared.  Louisiana taxes residents on income from all sources, even income earned while living in another state (North Dakota as in this example).  

Louisiana Schedule E & F Worksheet - Adjustments to Income.  Enter the applicable amount of excludable military pay.

Credit for tax paid to another state(s) is entered on line 1 of Sch G.  Sch G can be found on LA Schs H/G. Enter the amount of the net tax liability from the other state's tax return, not the amount withheld.

Complete all other fields and forms with red or required information.

6.  Amended Return  - An amended Louisiana return must be filed because the taxpayer received new tax information after their Louisiana return was filed.
Federal 1040X Form.  Before making any changes to the tax return add the US 1040X form to the tax return.  You must check the box under Income and Deductions to lock in the entries in Column A - Original amount or as previously adjusted.

Louisiana IT-540 - Louisiana Resident Individual Income Tax.  The same Louisiana IT-540 Form that was used to file the return is used to amend the return.  Check the blocks as in the example before making any changes to the return. 

Make whatever changes are required to the federal tax return.  For this example, a new W-2 was received.

Louisiana IT-540 - Louisiana Resident Individual Income Tax.  Return to the Louisiana IT-540 form to determine what the taxpayer refund

Or taxes owed will be.  Do not correct for any refunds already received or additional taxes paid.  This information is already on file.. 

Amended returns can not be e-filed.  The taxpayer must mail the federal 1040X and any state amended returns if required to be filed. Include an explanation of the changes with the state amended return.