Business, Professional & Occupational Licenses
BPOL taxes are levied by the Parish and the three municipalities located in the parish. These taxes are generally based on a percentage of annual gross sales and vary by the type of establishment. Most of the municipalities utilize a minimum base fee of $50 for businesses that generate minimal gross receipts. After the base fee, there are sliding scales for each type of establishment (i.e., retail, wholesale, etc.). At present, the maximum scheduled rate for any establishment in Ascension Parish is .39% (gross receipts X .0039) which applies to commission brokerage firms. The current minimum applicable rate in the Parish is .02% (gross receipts X .0002) which is applicable to lending institutions. Manufacturers in Ascension Parish are exempt from BPOL taxes.
The Ascension Sales and Use Tax Authority issues business licenses for all areas of the Parish, except within the City of Gonzales.
Ascension Parish Sales Tax Authority
1124 Burnside Avenue, Suite 300-A
Gonzales, LA 70737
City of Gonzales
120 S. Irma Blvd.
Gonzales, LA 70737
Local Sales & Use Taxes
Ascension Parish and the three municipalities located therein levy a combined 4.5¢ retail sales tax in addition to the applicable state sales tax.
There are no local income taxes in Ascension Parish.
Local Property Taxes
In Louisiana, all real and personal property is assessed by the Parish Assessor, which is an elected public official accountable to the voters. The following items are totally exempt from property taxes in Ascension Parish:
- Personal Vehicles
- Boats utilized for non-commercial purposes
- Airplanes utilized for non-commercial purposes
- All real and personal property belonging to charitable and other not-for-profit entities
Assessment and Reassessment
Ascension Parish utilizes the “use cost” approach versus the “book value” approach to determine the Fair Market Value of property. Commercial property is allowed to reach a base value of 20% of orignial value while the floor for industrial property is 30%. The Parish is required by Louisiana law to undertake reassessment every four (4) years.
There are no Rollback Taxes in Ascension Parish. Rollback Taxes are often employed by other areas to collect a higher rate of taxes for a defined “lookback period” of several years when a change in land use occurs in which the new use results in a higher assessment rate. For example, some communities utilize rollbacks when a piece of property converts from an agricultural to a commercial or industrial use.
Ascension Parish discounts the first $75,000 in Fair Market Value for residential property.
Property Tax Calculation Formula
Annual property taxes on a given asset are calculated utilizing the following formula:
Fair Market Value of Asset: $_____________
Times Assessment Rate: X_____________%
= Assessed Valuation: $_____________
X Millage Rate in the Tax District
in which the asset is located X_____________
= Property Tax Amount: $_____________
Applicable millage rates vary from one physical location in the Parish to another. This is due to the fact that in addition to certain Parish-wide millages for schools and other services, additional millages are applied against taxable assets located within a municipality and-or in certain special service districts which provide fire protection, drainage, flood control, water, street lighting and-or other services.
The current average Parish-wide millage rate is 115.00. The range is 102.00 mills to 125.00 mills. See below for Sample Property Tax Calculations in Ascension Parish.
Sample Property Tax Calculations for Ascension Parish
|Property Type||Fair Market Value||Assessment Rate =||Assessed Value X||Millage Rate =||Property Tax*|
*Calculation based on the Parish-wide average millage rate of 115.00.
**Calculation includes a reduction in Assessed Value of $7,500 under Ascension Parish’s Homestead Exemption program.
***See Industrial Property Tax Exemption incentive program under Local Taxes and Fees in Ascension Parish section below. This exemption is not factored into the above calculation.
Sample Property Tax Rates in Ascension Parish as a Percent of Fair Market Value
|Property Type/Fair Market Value||Low Case*||Average Case**||High Case***|
|Commercial/Industrial Buildings, Machinery, Equipment & Fixtures*****||1.530%||1.725%||1.875%|
*Assumes the property is located in that portion of the Parish that has the lowest combined millage rate for the various taxing authorities. (102.00)
**Assumes that the property is located in a hypothetical portion of the Parish in which the Parish-wide average total millage would apply. (115.00)
*** Assumes the property is located in the portion of the Parish that has the highest combined millage rates for the various taxing authorities. (125.00)
****Fair Market Valuation prior to the reduction of $75,000 for the Homestead Exemption.
*****See Industrial Property Tax Exemption incentive program under Local Taxes and Fees in Ascension Parish section below. This exemption is not factored into the above calculation.
Inventory Tax Credit
For ad valorem taxes property taxes paid on inventory, Louisiana law provides for a tax credit against income and corporation franchise tax as follows:
- Full refundability of the tax credit for taxpayers for taxes paid on inventory whose total inventory tax payment is less than or equal to $500,000.
- Refundability for 75% of the tax credit for taxes paid on inventory whose total inventory tax payment is more than $500,000 but less than or equal to $1,000,000. The taxpayer is to be refunded 75% of the excess credit and the remaining 25% may be carried forward as a credit against subsequent tax liability for a five year carry forward.
- Refundability for 75% of the tax credit for taxes paid on inventory whose total inventory tax payment is more than $1,000,000. The remaining amount of the credit shall be carried forward as a credit against subsequent tax liability for a five year carry forward.
- Taxpayers that are members of a federal consolidated group combine their inventory tax paid in order to determine the amount of the excess credit is refundable.
- Only $10,000 is refundable for newly created businesses with inventory taxes of less than $10,000.
- Limits refundability of the credit for business entities formed after April 15, 2016 that pay over $10,000 and up to $1,000,000 or less in ad valorem tax paid on inventory to 75% of tax paid.