Combined rate and how to defer it in Louisiana.
Louisiana taxes capital gains as ordinary income at up to 4.25%, pushing the combined investment property rate to 28.1% (20% federal + 3.8% NIIT + 4.25% state).
Louisiana taxes capital gains as ordinary income at up to 4.25% at the state level. Combined with federal, the total reaches 28.1%. See the full estimate with depreciation recapture in the capital gains tax calculator.
A 1031 like-kind exchange defers the 28.1% combined rate by reinvesting into a qualifying replacement property. Model your numbers in the 1031 exchange calculator and track your deadlines with the timeline calculator.