Regular readers of Tax Foundation reports know that we publish estimates of the distributional impact of federal tax changes: that is, we estimate how a tax reform might affect the after-tax incomes of taxpayers at...
The facts on California’s Tax Climate
13.3%individual income taxTop rate
8.84%corporate income taxFlat rate
$1,365property taxcollections per capita
California's Individual Income Tax System
California's individual income tax system consists of 10 brackets with a top rate of 13.3%. The top rate ranks 1st highest among states levying an individual income tax. California's state and local tax collections per person were $1739 in 2013, which ranked 5th highest nationally.
50-State Table of Individual Income Tax Rates
50-State Table of State Individual Income Tax Collections
50-State Table of State and Local Individual Income Tax Collections Per Capita
California's Corporate Income Tax System
California's corporate income tax system consists of a flat rate of 8.84%. That rate ranks 8th highest among states levying a corporate income tax. California's state and local corporate income tax collections per person were $194 in 2013 which ranked 11th highest nationally.
50-State Table of Corporate Income Tax Rates
50-State Table of State and Local Corporate Income Tax Collections Per Capita
50-State Table of State Corporate Income Tax Collections Per Capita
California Sales and Excise Taxes
California levies a 7.5% general sales or use tax on consumers, which is above the national median of 5.95%.The average local sales tax rate is an additional 1%. California's state and local governments collect $1,159 per person in general sales taxes and $507 per person in excise taxes, for a combined figure of $1,666, which ranks 17th highest nationally. California's gasoline tax stands at 40.62 cents per gallon, 5th highest nationally, while its cigarette tax stands at $0.87, 34th highest nationally.
50-State Table of State and Local General and Selective Sales Tax Collections Per Capita
California Property Tax Collections Average
California's state and local governments collected approximately $1,365 per person in property taxes in 2013, which ranks 22nd nationally.
State and local property tax collections per capita by state
Tax Freedom Day Arrives on April 30th in California
Tax Freedom Day is the day when Americans have finally earned enough money to pay off their total tax bill for the year. In 2016, California taxpayers have to work until April 30th (45th earliest nationally) to pay their total tax bill.
California's State and Local Tax Burden Ranks 6th
California's 2012 tax burden of 11% ranks 6th highest in the nation, and is above the national average of 9.9%. California's taxpayers pay $5,237 per capita in state and local taxes.
Other States' State/Local Tax Burdens
Map of U.S. Showing all State's Burdens and Ranks
Historical Chart Comparing All States' State/Local Tax Burdens from 1977 to 2009
California's 2016 Business Tax Climate Index Ranks 48th
California ranks 48th on the Tax Foundation's State Business Tax Climate Index. The Index compares the states in five areas of taxation that impact business: corporate taxes (35th), individual income taxes (50th), sales taxes (40th), unemployment insurance taxes (13th), and taxes on property (13th), including residential and commercial property.
State Business Tax Climate Index (full study)
Join the Tax Foundation's fight for sound tax policy Go
Related State Articles
- Lunch Links: House Ways and Means Approves Four Tax Bills; California Assesses Proposition 13; New Mexico Considering Tax Changes; New Fiscal Year Finds Kansas in Debt Already
- Lunch Links: Speaker Ryan Lays Out Vision for Tax Reform; Compromise Part of Latest New Jersey Tax Proposal; Pennsylvania Legislators Target Reduction of 40 Percent E-Cigarette Tax; Rundown of Marijuana Ballot Propositions in Five States
- Lunch Links: California Public Employee Pension Substantially Underfunded; Nevada Voters Poll 'No' to Stadium Tax; Court Ruling Means Exelon Underpaid Taxes
- 1 of 104
- next ›
Tax By State
For information on your state, select it from the drop-down menu.