California Tax Rates & Tax Burden
Tax Burden
13.5%
46th lowest
Top Income Tax
13.3%
10 brackets
Combined Sales Tax
8.802%
7.25% state rate
Property Tax
0.699%
Effective rate
Individual Income Tax
Source: Tax Foundation (2025)Top Marginal Rate
13.3%
Number of Brackets
10
Collections per Capita
$2,460
California levies a state individual income tax with a top marginal rate of 13.3% across 10 tax brackets. Income tax collections total $2,460 per capita.
Top Marginal Income Tax Rate by State
Sales Tax
Source: Tax Foundation (2025)State Rate
7.25%
Avg. Local Rate
1.552%
Combined Rate
8.802%
Collections per Capita
$1,367
California has a state sales tax rate of 7.25%. When combined with average local sales taxes, the total combined rate is 8.802%. Sales tax collections total $1,367 per capita.
Combined Sales Tax Rate by State
Property Tax
Source: Tax Foundation / Census (2025)Effective Rate
0.699%
Collections per Capita
$2,131
The effective property tax rate in California is 0.699% of owner-occupied housing value. Property tax collections total $2,131 per capita.
Effective Property Tax Rate by State
Gas & Fuel Tax
Source: Tax Foundation (2025)Gas Tax
70¢/gal
California levies a total gas tax of 70¢/gal per gallon, which includes both excise taxes and other fees. The national average is 32.6¢/gal.
Gas Tax by State (¢/gallon)
Corporate Income Tax
Source: Tax Foundation (2025)Top Corporate Rate
8.84%
California levies a corporate income tax with a top rate of 8.84%.
Top Corporate Income Tax Rate by State
Business Tax Climate
Source: Tax Foundation SBTCI (2025)Business Climate Rank
#48
of 50 states
Tax Burden Rank
#46
46th lowest burden
Total Collections / Capita
$5,631
The Tax Foundation's State Business Tax Climate Index ranks California #48 out of 50 states for overall tax competitiveness. This index evaluates corporate taxes, individual income taxes, sales taxes, property taxes, and unemployment insurance taxes.
The total state and local tax burden in California is 13.5% of state income, compared to the national average of 10.56%.
Business Tax Climate Rank by State (1 = Best)
How California Compares
Tax Burden by State (% of Income)
| Metric | California | National Avg. |
|---|---|---|
| Tax Burden (% of income) | 13.5% | 10.56% |
| Combined Sales Tax | 8.802% | 7.21% |
| Property Tax (effective) | 0.699% | 0.873% |
| Gas Tax (¢/gallon) | 70¢/gal | 32.6¢/gal |
| Collections per Capita | $5,631 | $4,397 |