What does it costto run an entity in Louisiana.
Running a Louisiana entity means no franchise tax and a $125 state filing fee, but Teamed handles compliance without you owning either.
At a glance
Louisiana running costs at a glance
Louisiana has repealed its corporation franchise tax, so the minimum franchise tax is $0 with no tax basis applying at all. Registering the entity itself costs $125 under the Secretary of State's fee schedule effective 1 October 2026 (Act 921, 2026 Regular Session).
- Minimum franchise tax
- $0
- Franchise tax basis
- none
- Formation / registration fee
- $125
Franchise tax
Louisiana's franchise tax is gone
Louisiana no longer charges a corporation franchise tax. The Louisiana Department of Revenue confirms the tax is repealed, with a minimum franchise tax of $0 and a franchise tax basis of none.
That removes one of the recurring costs that trips up founders in states that still tax net worth or capital. You still owe ordinary state and federal income taxes on profits, but the franchise tax line simply does not apply once you're set up in Louisiana.
Formation fee
What you pay the Secretary of State
Setting up a Louisiana entity carries a one-time registration cost. Under the fee schedule effective 1 October 2026 (Act 921, 2026 Regular Session), that fee is $125.
This covers the initial filing only. Amendments, name changes, or extra registrations later may carry their own separate charges, so budget for the base fee and treat anything beyond it as a line item to check when it comes up.
Ongoing filings
Keeping the entity in good standing
Beyond the initial filing, a Louisiana entity generally needs a current registered agent and periodic reports on file with the Secretary of State. Falling behind on a filing can push the entity out of good standing, which then complicates payroll, banking, and tax registrations.
None of this is difficult on its own, but it is ongoing work. Someone has to track deadlines, file paperwork, and respond to state notices for as long as the entity exists, which is exactly the administrative load Teamed absorbs when you employ through us instead.
The honest take
Sometimes an entity isn't the answer yet
An employer of record is sometimes the better answer, not a lesser one, especially for a small or still-changing headcount, or while you're testing the Louisiana market before committing capital. Talk to a member of the team to walk through your plan, or run the numbers yourself with the crossover calculator.
Whether an entity pays off depends on salaries and how long you intend to stay, not on hitting some fixed headcount, so it's worth modeling rather than guessing.
Your own entity, when it's time
Your own entity, when it's time. We set it up, migrate you in, and hand it back intact.
When you're ready to run payroll under your own name, Teamed's Global Entity and Employment Operations service, which we call GEMO, sets up the entity, migrates your employees into it, and hands you a structure you actually own, across 100+ countries.
For Louisiana, that means a straightforward $125 filing with the Secretary of State and no franchise tax to plan around, so the entity you inherit starts lean and stays that way.
Before you commit
Sometimes an employer of record is the better fit
An employer of record is sometimes the better answer, not a lesser one, especially for a small or still-changing headcount, or while you're testing the Louisiana market before committing capital. Talk to a member of the team to walk through your plan, or run the numbers yourself with the crossover calculator.
Contractors, employer of record and your own entity all run on one platform at Teamed, so moving between them later does not mean changing provider or re-onboarding anybody. Real HR and legal experts handle the work rather than a ticket queue.
Talk to a member of the team and we will tell you plainly which one suits where you are. If you would rather look at the numbers yourself first, the crossover calculator models it on local salaries and employer costs rather than on a headcount rule of thumb.
Who carries it
Your own entity, when it's time. We set it up, migrate you in, and hand it back intact.
Global Entity and Employment Operations, which we call GEMO, is how Teamed forms your company, registers it for tax and payroll, runs it month to month and keeps its filings current, across 100+ countries. You stay the employer. We do the work behind it.
For Louisiana, that means a straightforward $125 filing with the Secretary of State and no franchise tax to plan around, so the entity you inherit starts lean and stays that way.
They set up our EU entity and moved hires across without missing a payroll.
Questions
Louisiana running cost questions
Does Louisiana still charge a corporation franchise tax?
No. The Louisiana Department of Revenue confirms the corporation franchise tax is repealed, with a minimum franchise tax of $0 and no franchise tax basis applying.
How much does it cost to register an entity in Louisiana?
The Secretary of State's fee schedule, effective 1 October 2026 under Act 921 from the 2026 Regular Session, sets the registration fee at $125. That covers the initial filing itself.
Are there other recurring state fees to budget for?
Beyond the one-time registration fee, expect ongoing requirements like keeping a registered agent current and filing periodic reports with the Secretary of State. These are administrative obligations rather than taxes, but missing them can affect good standing.
Does Teamed handle these filings for me?
When you employ through Teamed as an employer of record, you don't own a Louisiana entity, so these filings aren't yours to manage. If you later want your own entity, Teamed's GEMO service sets it up and hands it back to you intact.
When does it make sense to set up my own Louisiana entity instead of using an EOR?
It depends on your salaries and how long you plan to stay in the state, not on a fixed headcount. Run the numbers through the crossover calculator or talk to a member of the team before deciding.
Where these figures come from
Sources
These figures come from the Louisiana Department of Revenue and the Louisiana Secretary of State fee schedule.
Looking for a job in Entity Running Costs And Filings yourself? Teamed does not hire people directly. Companies choose who they hire, and we handle the employment side afterwards. Here is why we cannot help with your search.