New Orleans Offers Sales Tax Amnesty Through End Of 2026

The City of New Orleans Department of Finance is offering a limited-time Sales Tax Amnesty Program for businesses to pay overdue sales tax. Eligible taxpayers will pay all delinquent tax amounts, and the City will waive all penalties, negligence fees, and 50% of the interest charged on delinquent balances during the amnesty period. The Amnesty Program begins October 1, 2026 and ends December 31, 2026.

The program applies to outstanding sales and use taxes, hotel/motel taxes, parking taxes, alcoholic beverage gallonage taxes, occupational license taxes, and certain permits. The Amnesty Program DOES NOT include property taxes. Eligible taxpayers must pay all amounts due under the Amnesty Program by December 31, 2026. The Program provides for installment payments; however, all amnesty installment agreements must be paid in full by December 31, 2026. If the agreement is not paid, penalties and interest will be restored to the original liability amount.

It is noteworthy that the Amnesty Program is available to taxpayers that are currently under audit or in litigation for sales tax matters. The program is also available to taxpayers that:

• Failed to file a tax return and pay the tax due.
• Failed to register or file sales or another type of tax, license, or permit.
• Are currently under an installment agreement or have defaulted on an installment agreement.
• Underpaid tax or have an outstanding sales tax balance.
• Failed to pay for or renew an Occupational License permit.
• Misrepresented or omitted tax due.
• Have sales tax liens on personal or business property.
• Claimed incorrect credits or deductions on tax returns.

The Program details provided thus far do not address whether the city retains the right to audit or verify amounts paid under the Amnesty Program. Interested taxpayers can find the Amnesty Program application and more information about the Amnesty Program on the city’s website.