Louisiana Unfiled Sales Tax Returns Checklist
If your business has not filed sales tax returns with the Louisiana Department of
Revenue, this checklist explains what that means, why it matters, and what happens next. Unfiled sales tax returns represent a compliance gap in the state's tax system. The state tracks registered businesses and monitors filing patterns. When returns are not filed, the state typically initiates collection and enforcement action.
Understanding what unfiled returns mean and what the state will likely do helps you make informed decisions about next steps. This issue affects your business's standing with the state and can lead to penalties, interest, and enforcement actions if left unaddressed. This checklist outlines how the Department of Revenue typically handles unfiled sales tax returns in Louisiana.
What This Issue Means
An unfiled sales tax return means your business registered to collect sales tax but did not submit the required return and payment to the state for one or more reporting periods. Effective October 2025, all Louisiana jurisdictions must file monthly on the
Louisiana Sales Tax Return. When a return is not filed, there is no record of the sales tax collected or owed for that period, and the state has received no payment.
Why the State Issued This or Requires This
Louisiana requires all registered sales tax collectors to file returns on a regular schedule. This requirement exists because the state depends on sales tax revenue for
public services. When returns are not filed, the state loses visibility into the amount of tax owed and cannot process payments.
In many cases, unfiled returns trigger automatic notices and escalation procedures within the state's collection system. The state's Department of Revenue monitors filing activity and identifies patterns of non-filing. When unfiled returns are detected, the state typically initiates contact with the business to request compliance.
What Happens If This Is Ignored
If unfiled returns are not addressed, the state typically escalates collection efforts. The
Department of Revenue may issue additional notices, assess penalties and interest on the estimated amount owed, and potentially pursue enforcement action. Without filed returns, the state may estimate the tax liability based on prior filing history or industry standards.
Continued non-filing can result in administrative action, including loss of registration, collection proceedings, or referral to other state agencies. The longer unfiled returns remain unaddressed, the larger the accumulated penalties and interest become.
What This Does NOT Mean
An unfiled return notice does not automatically mean criminal charges will be filed. It does not mean your business license will be immediately revoked, though continued non-compliance can lead to that outcome. It does not mean the state has determined you owe a specific amount: that determination typically comes after the state reviews your records or estimates liability.
This notice does not indicate that payment enforcement action, such as wage garnishment or asset seizure, has already begun, though those actions are possible if the issue is not resolved.
Checklist: What to Do After Identifying Unfiled Sales Tax
Returns
Step 1: Locate All Unfiled Return Notices
Check your business mail, email, and any online account portal associated with your sales tax registration. Gather any notices from the Louisiana Department of Revenue that reference unfiled returns.
Note the tax periods mentioned and any stated deadlines for response. Keep all notices in one location for easy reference.
Step 2: Review Your Business's Sales Tax Registration Status
Log in to your Louisiana online tax account (if you have access) or contact the
Department of Revenue. Confirm that your business is currently registered to collect sales tax.
Note the effective date of your registration and any changes to your account status.
Save copies of your registration documents for your records. As of October 2025, all businesses file monthly.
Step 3: Determine Which Tax Periods Have Unfiled Returns
Make a list of each month for which a return was not filed. Use the notice as a reference, but independently verify your filing history if possible.
Note whether the unfiled periods are recent or span several years. Check whether any returns were filed late that you were not aware of. Contact the Department of Revenue if you are unsure which periods are outstanding.
Step 4: Gather Records for Each Unfiled Period
Collect sales invoices, receipts, point-of-sale records, or accounting records for each unfiled period. Compile records of sales tax collected from customers during those periods. Gather any documents showing sales, taxable transactions, and exempt transactions.
Organize these records by tax period to match your filing schedule. Note if any records are missing and identify how you might reconstruct them.
Step 5: Calculate or Estimate Sales Tax Owed
Using your records, determine the gross sales for each unfiled period. Identify which sales were subject to sales tax and which were exempt. Calculate the sales tax owed based on Louisiana's current sales tax rates. Account for local sales taxes if your business operates in multiple jurisdictions.
Document your calculations clearly for each period. If records are incomplete, estimate based on available information.
Step 6: Contact the Louisiana Department of Revenue
Call the Department of Revenue to speak with a representative about your unfiled returns. The main customer service phone number is 855-307-3893 (Monday through
Thursday 8:00 AM to 4:20 PM; Friday 9:00 AM to 4:20 PM). Provide your sales tax registration number when you call.
Explain that you are seeking to address unfiled returns for specific periods. Ask about the current status of your account and any penalties that have already been assessed—request information about payment options, payment plans, or other resolution processes. Ask for written confirmation of the conversation or next steps.
Step 7: Request a Formal Statement of Account or Assessment
Ask the Department of Revenue to provide a formal statement showing all unfiled periods—request documentation of any penalties and interest that have been assessed.
Request clarity on the total amount owed, including estimated taxes, penalties, and interest—request written confirmation via mail or email.
Keep this documentation for your records and for any future communications. Verify the amounts before taking further action.
Step 8: Determine Your Filing Method
Decide whether you will file returns yourself using the records you have gathered.
Determine whether you need assistance from a tax professional or accountant. Gather any software or forms required to prepare the returns accurately.
If you do not have complete records, discuss estimation methods with the Department of Revenue. Keep records of how any estimates were calculated. Ensure all returns will include accurate information for each filing period.
Step 9: Prepare and File All Outstanding Returns
Complete the Louisiana Sales Tax Return (Form R-1029) for each unfiled period. Enter the sales and tax information for each unfiled period. Include all required attachments or schedules for each return. Double-check all calculations and ensure information is complete. File each return according to current Department of Revenue procedures
(online, mail, or in person).
Keep copies of every return filed for your records. Request confirmation that each return was received.
Step 10: Arrange Payment for All Outstanding Taxes
Determine the total amount owed, including estimated tax, penalties, and interest. Verify this amount matches the Department of Revenue's calculation. Explore payment options available through the Department of Revenue.
Ask about payment plans, extensions, or other arrangements if you cannot pay in full.
Make arrangements to pay before any stated deadline. Keep records of all payments made.
Step 11: Follow Up on Any Payment Plan or Arrangement
If you arranged a payment plan, mark all due dates on your calendar. Make each payment on time, as agreed. Keep documentation of every payment (receipts, bank confirmations, etc.).
If circumstances change and you cannot make a scheduled payment, contact the
Department of Revenue immediately. Do not miss payments on an agreed arrangement, as this can trigger further collection action. Request written confirmation of completion once all payments are made.
- Missing Deadlines: If the Department of Revenue sets a deadline for filing or
- Filing Incomplete Returns: Attempting to file without complete information or
- Ignoring Follow-Up Notices: After filing and paying, the state may send
- Not Keeping Records: Failing to keep copies of filed returns, payment
- Assuming Penalties Will Be Removed: The state assesses penalties as part of
- Not Addressing the Underlying Problem: If unfiled returns occur due to
- Continuing to Collect Sales Tax Without Filing: If your business continues to
- State enforcement notices and responses
- Sales tax audits, assessments, and collections
- Payroll & trust fund tax enforcement issues
- Penalty and interest reduction options
- Payment plans and state tax relief eligibility
- Representation before state tax agencies
Step 12: Resume Regular Filing for Current Periods
Confirm when you are required to file your next return. Monthly filing is required for all businesses as of October 2025. Establish a filing system to ensure future returns are filed on time.
Set up calendar reminders for upcoming filing deadlines (the 20th of each month for the preceding month). Consider using accounting software or hiring a professional to help manage ongoing compliance. File all returns due after resolving the unfiled returns issue. Maintain your current filing schedule consistently.
What Happens After This Is Completed
Once returns are filed and payment is made, the Department of Revenue typically updates your account status and closes the unfiled return case. The state will acknowledge receipt of your filed returns and process the payment. Depending on the details of your situation, the state may send confirmation notices or updated account statements.
If a payment plan was arranged, you will need to continue making scheduled payments.
The Department of Revenue may conduct follow-up correspondence to verify that all outstanding periods have been resolved.
Common Mistakes to Avoid responding to notices, meeting that deadline is essential. Missed deadlines can result in additional penalties or enforcement action. with incorrect calculations can delay resolution. Take time to gather accurate records before filing. additional notices or requests for information. Responding promptly to these communications helps prevent further complications. confirmations, and correspondence with the Department of Revenue can make it difficult to prove compliance later. the enforcement process for unfiled returns. While penalty relief may be available under LAC 61:III.2101, it is not automatic. Relief typically requires a specific request and demonstration that failure to file was due to reasonable cause rather than negligence. disorganization or staffing issues, failing to fix the underlying problem means they are likely to recur. collect sales tax while returns remain unfiled, the amount owed grows each month. This increases penalties and makes eventual resolution more difficult.
Frequently Asked Questions
How long does it take for the Department of Revenue to respond after I file my unfiled returns?
The state's processing time is not clearly specified in public guidance. Typically, you should receive confirmation within several weeks. If you do not receive acknowledgment within 30 days, contact the Department of Revenue to verify receipt.
If I cannot find my sales records for some periods, what happens?
You may estimate your sales and tax liability based on available information, bank records, or other documentation. The Department of Revenue can provide guidance on estimation methods. Document how your estimates were calculated. The state may ask you to verify your estimates later.
Can I get penalties removed after I file?
The Department of Revenue has processes for penalty relief in certain circumstances under LAC 61:III.2101. Relief is not automatic and requires demonstrating that the
failure to file was due to reasonable cause rather than negligence. You typically need to request relief separately and provide justification for it.
What if I owe a large amount of money?
The Department of Revenue offers payment plans for businesses that cannot pay in full.
Contact the Department of Revenue to discuss options. Payment arrangements typically must be requested before enforcement action becomes more severe.
Will unfiled returns affect my business license?
Continued noncompliance with sales tax filing requirements can result in the loss of sales tax registration. This does not automatically happen immediately, but it is a possible consequence of ongoing non-filing.
What if the Department of Revenue's calculation of what I owe is different from mine?
Request a detailed explanation of how the amount was calculated. If you disagree, ask about the process for disputing the assessment. The Department of Revenue should provide clear documentation of how penalties and interest were applied. For 2026, the annual interest rate on unpaid taxes is 10.50 percent.
Do I need a tax professional to help with this?
This is a decision based on your situation. Some businesses resolve unfiled returns independently. Others work with accountants or tax professionals. The Department of
Revenue does not require professional assistance, but can guide the process.
What happens if I file late but then fail to file again?
The state tracks filing patterns. Repeated unfiled returns can result in escalated enforcement action and may affect your registration status more quickly than a first-time issue.
Facing State Tax Enforcement Action?
If you’ve received a notice related to sales tax or payroll tax enforcement and are unsure how to respond, our team can help you understand your options and next steps.
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