Being in the western part of the Republic of Srpska and in the northwestern territory of Bosnia and Herzegovina, the City of Laktasi covers the area within latitude of 44 degrees, between 46 and 59 minutes north, and a longitude of 17 degrees, between 10 and 29 minutes east. It covers a square area of somewhat less than 400 square kilometers. On the north, its neighbors are the municipalities of Gradiska and Srbac, on the northwest and south, the municipality of Banja Luka and, on the southeast – Celinac and Prnjavor.

The border with the Republic of Croatia and Banja Luka, the capital of the Republic of Srpska, is at the distance of 20 kilometers. Laktasi are 250 km away from Sarajevo, 160 km from Zagreb, and 306 kilometers from Belgrade.

The Vrbas River, which flows from Banja Luka in the direction of southwest – northeast, is the geographic border within the municipality. On the left bank of the Vrbas River there is the potkozarskolijevacko area that lies on the slopes of Mount Kozara while Zupa (i.e. District) is on the right bank – gentle slopes and hillsides of Crni Vrh (i.e. Black Mountain Peak), as well as the valleys of the rivers Turjanica and Crkvena. Spacious Lijevce polje (i.e. Lijevce Plain) is on the northeast from Laktasi, towards Srbac and the Sava River.