Louisiana ranks #30 overall out of the 51 U.S. jurisdictions for its friendliness towards faith-based nonprofit organizations. Louisiana has several policies that facilitate the contributions of faith-based nonprofits, including a broad automatic exemption from charitable registration requirements for religious organizations, no audit requirement to solicit donations in the state, and a RFRA statute. Louisiana, however, has some policies that are burdensome to faith-based nonprofits operating in the state, such as sales tax with only narrow exemptions on religious organizations’ sales and purchases and laws regarding public accommodations that include no meaningful exemptions for religious organizations.
Religious Freedom:
State Constitutional Protection of Free Exercise:
0
/5
The Louisiana Constitution follows in lockstep with the federal constitution’s protections, meeting but not exceeding the required minimum protections of the First Amendment.
State Religious Freedom Restoration Act:
3
/5
Louisiana has enacted a RFRA that protects the religious free exercise of all individuals and entities by requiring government burdens on religious exercise to satisfy strict scrutiny. Since these protections originate in a statute rather than the state constitution, Louisiana does not receive the highest score for this factor.
Religious Freedom for Nonprofits with Public Programming:
-5
/5
Louisiana’s nondiscrimination laws generally restrict religious freedom for religious organizations that offer public programming and facilities and provide no meaningful religious accommodations or exemptions.
Religious Freedom for Faith-Based Employers:
-3
/5
Louisiana’s nondiscrimination laws related to employment have only a narrow exemption allowing religious organizations to hire co-religionists.
Protections for Religious Exercise in State of Emergency:
-3
/5
Louisiana law has no explicit constitutional or statutory protections for religious exercise during a time of emergency.
Blaine Amendment:
3
/5
The Louisiana Constitution does not contain a Blaine Amendment but also does not expressly protect faith-based organizations’ freedom to participate in public benefit programs on the same terms as similarly situated secular institutions.
Regulatory Freedom:
Nonprofit Religious Corporation Act:
3
/5
Louisiana’s nonprofit corporation law expressly: (a) acknowledges an option for nonprofit corporations to incorporate for religious purposes and (b) includes specific provisions to protect the right of nonprofits incorporated for religious purposes to self-government in internal affairs. The law does not include an option to incorporate expressly as a nonprofit religious corporation.
Standards of Conduct for Directors of Religious Organizations:
0
/5
Louisiana law permits a director, in the fulfillment of the director’s fiduciary duties, to rely only on the opinions of certain individuals retained by the corporation, and does not expressly allow a director to rely on guidance from religious figures within his or her faith tradition.
Charitable Registration Law:
5
/5
Louisiana generally requires charitable solicitation registration but provides a broad, automatic exemption for religious organizations that do not use a professional fundraiser.
Audit Requirements Pursuant to Charitable Registration:
5
/5
Louisiana does not require the submission of reviewed or audited financials as a condition of maintaining authorization to fundraise in the state.
Corporate Income Tax:
1
/5
Louisiana imposes a corporate income tax but offers an exemption to organizations with federal 501(c)(3) exempt status upon application.
Sales and Use Tax, Sales:
-3
/5
Louisiana imposes a sales and use tax on religious organizations’ sales and only provides limited exemptions for certain items.
Sales and Use Tax, Purchases:
-3
/5
Louisiana imposes a sales and use tax on religious organizations’ purchases and only provides limited exemptions for certain items.
Property Tax:
3
/5
Louisiana imposes property tax but, upon application, generally provides an exemption to religious organizations for property used for religious and/or charitable purposes.
