Louisiana Guide for Canadians

Quick Facts

State Income Tax	2% - 6% graduated rates (individual), 5.5% flat rate (corporate)
Sales Tax	5% state + local (average 10.12% total - highest in US)
Driver's License Grace Period	90 days for residents
Residency Requirement for Tax	Domiciled in Louisiana for 183+ days
Vehicle Registration Deadline	30 days for residents
REAL ID Deadline	May 7, 2025 for domestic flights

First 90 Days Checklist

Week 1-2: Essential Documents

• Gather required documents for driver's license
• Open US bank account
• Set up temporary mailing address

Week 3-4: Official Registration

• Apply for Louisiana driver's license (within 90 days)
• Register vehicle if brought from Canada (within 30 days)
• Register to vote

Month 2-3: Establishing Residency

• Update address with Canadian financial institutions
• Establish Louisiana ties
• Consider Louisiana vehicle insurance

Driver's License & Vehicle Requirements

For Canadian Citizens

Required Documents:

• Original valid Canadian passport
• Proof of Social Security Number (if applicable)
• Two proofs of Louisiana residential address

Testing Requirements:

• Written test required for Canadian citizens
• Road test required - Louisiana does not recognize foreign licenses
• Vision screening required

Important Notes:

• 90-day limit to get Louisiana license after residency
• REAL ID required by May 7, 2025 for air travel
• Both written and road tests required for Canadians

Vehicle Registration

• Register within 30 days of establishing residency
• Safety inspection required
• Emissions testing not required statewide
• Louisiana insurance required for registration

Tax & Residency Considerations

Louisiana State Tax Structure

• **Individual income tax** 2% - 6% graduated rates
• **Corporate income tax** 5.5% flat rate (as of 2025)
• **No inheritance tax**
• **Moderate property taxes** (0.56% effective rate)
• **High sales tax** 5% state rate + local (average 10.12% total)

Establishing Louisiana Tax Residency

Louisiana residency is based on domicile and presence:

• Domiciled in Louisiana for 183+ days during tax year
• Intent to make Louisiana your permanent home
• Physical presence supporting domicile intent

Documentation to Establish Residency

• Louisiana driver's license and voter registration
• Bank accounts and utility bills in Louisiana
• Employment or business activities in Louisiana
• Professional licenses, club memberships

US Federal Tax Implications for Canadians

Important: Under the Substantial Presence Test, you may be considered a U.S. resident for tax purposes.
Recommendation: Consult a cross-border tax professional.

Healthcare Considerations

Insurance Options

• Louisiana has limited public health insurance for non-citizens
• Travel insurance strongly recommended
• Consider US health insurance if staying permanently
• Quality medical facilities in New Orleans, Baton Rouge, Shreveport

Prescription Medications

• Bring adequate supply from Canada
• Understand prescription transfer requirements
• US prices often higher than Canadian prices
• Research pharmacy options and discount programs

Special Considerations for Snowbirds

Maintaining Canadian Ties

• Keep principal residence in Canada
• Monitor days in U.S. for tax reasons
• Maintain Canadian insurance & banking relationships
• Louisiana domicile-based residency requires careful planning

Property Considerations

• Affordable property values in most areas
• Homestead exemption available ($7,500 base)
• Impact on Canada's principal residence exemption
• Hurricane and flood insurance essential for coastal areas

Climate & Lifestyle Benefits

• Subtropical climate with mild winters
• Rich cultural heritage and festivals
• Unique cuisine and music scene
• Lower cost of living than northeastern states

Travel Documentation

• Ensure passport validity (6+ months remaining)
• Consider Global Entry/NEXUS for easier border crossings
• Track intent and domicile establishment carefully
• No Enhanced Driver's License available in Louisiana

Weather Considerations

Louisiana is prone to hurricanes, flooding, and severe weather. Comprehensive insurance coverage and emergency preparedness are essential.

Cultural Advantage

Louisiana offers a unique cultural experience with its Creole and Cajun heritage, world-class festivals, and distinctive cuisine. The state provides an authentic Southern lifestyle with strong community ties.

Key Contacts & Resources