Business challenges Louisiana sales tax system in lawsuit

Published: Nov. 15, 2021 at 3:45 PM CST
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BATON ROUGE, La. (AP) — An out-of-state business has sued Louisiana and several parishes to challenge the state’s patchwork approach to collecting sales taxes.

The federal lawsuit filed Monday comes days after voters rejected a constitutional change that would have centralized those tax collections in a single board.

Halstead Bead is an Arizona-based business that sells jewelry-making supplies online. Its lawsuit says Louisiana’s parish-by-parish sales tax filing system is a “compliance nightmare.” The company is asking the court to declare it an unconstitutional burden on interstate commerce.

Halstead Bead is represented by several small-government, right-leaning groups.

Lawmakers backed a sales tax consolidation effort, but voters refused it Saturday.

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