STATE SALES TAX
California levies a 7.5 percent general sales and use tax on consumers, which is the highest statewide rate in the nation.
Local governments are permitted to levy additional sales and use taxes, and the combined rate of the additional local taxes should not exceed 2 percent. However, some local governments have been given special dispensation to go above this cap.
GASOLINE TAX
California's combined local, state and federal gasoline taxes
total 72 cents per gallon, the highest in the nation. (This includes the 3.5-cents-per-gallon increase approved in March 2013, effective July 1, 2013.)
PERSONAL INCOME TAX
California's personal income tax has
the highest top rate and one of the most highly progressive structures in the nation. After passage of Proposition 30, California's top rate is 13.3 percent (including the 1 percent surcharge for mental health programs, for all personal income taxpayers with taxable income over $1 million).
CORPORATE INCOME TAX
"Corporations looking to relocate, or even establish, a business in the West may shy away from California, as
the state's 8.84 percent flat rate is the highest corporate tax rate in the West,"
PROPERTY TAXES
As of July 1, 2012, property taxes in California were $1,458 per capita, ranked 15th highest nationally. Without Proposition 13, the 1978 voter-approved initiative that set limits on property taxes for California property owners, the state likely would rank even worse.
Many California property owners also are required to pay costly parcel taxes. These are annual property taxes (not based upon the value of the property) imposed by many school districts, special districts and other jurisdictions.
CalTax | Where Does California Rank?