Louisiana Capital Gains Tax (2026)
Louisiana taxes capital gains as ordinary income at a flat 3% rate. Run your own numbers with the free capital gains tax calculator, which estimates federal, NIIT, and Louisiana tax together.
In short: federal long-term rates of 0%, 15%, or 20% apply everywhere. Louisiana adds state tax on top, at up to 3%.
How Louisiana treats capital gains
Louisiana taxes capital gains as ordinary income at a flat 3% rate. The estimate subtracts Louisiana's standard deduction ($12,875 single / $25,750 married).
A worked example
Say you are a single filer in Louisiana with $60,000 of taxable income who sells stock held over a year for a $25,000 long-term gain. Federal tax on the gain is $3,750 (all of it lands in the 15% bracket at this income; no NIIT applies below $200,000 MAGI). Louisiana adds an estimated $750, for a combined $4,500, an effective 18.0% on the gain. These figures use the same math as the calculator, 2026 federal brackets per IRS Rev. Proc. 2025-32, and state figures from the Tax Foundation's State Individual Income Tax Rates and Brackets, 2026.
Frequently asked questions
Does Louisiana tax capital gains?
Yes. Louisiana taxes capital gains as ordinary income. Louisiana taxes capital gains as ordinary income at a flat 3% rate.
What will I pay on a long-term gain in Louisiana?
Combined, our worked example ($25,000 long-term gain on $60,000 of income, single) comes to $4,500: $3,750 federal plus $750 Louisiana tax, an effective 18.0%.
Do I still owe federal capital gains tax in Louisiana?
Yes. Federal capital gains tax (0%, 15%, or 20% long-term, ordinary rates short-term, plus the 3.8% NIIT for high earners) applies no matter your state. The free calculator estimates federal, NIIT, and Louisiana tax together.
More
- Every state's capital gains treatment
- Capital gains tax explained: short-term vs long-term
- Neighbors alphabetically: Kentucky · Maine
This page is general information, not tax, legal, or financial advice. Rates and rules can change and depend on your situation. Confirm details with a tax professional, the IRS, or your state's revenue department.
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