California State Income Tax in 2025: A Guide

California has a progressive state income tax with nine tax rates ranging from 1% to 12.3%.  

Precisely how much you’ll pay for the 2024 tax year (the taxes you file in 2025) depends on your income level, filing status, and deductions. Higher earners generally pay more. However, you can help reduce your tax burden with certain deductions and credits, like those for dependents.  

California’s state income tax rates are among the highest in the nation. Getting a handle on how the Golden State’s tax system works can help you minimize your tax burden by taking advantage of available credits and deductions.  

So, let’s break down what you need to know for the 2024 tax year. *Note you are still responsible for federal taxes if you meet the IRS income filing threshold.  This article addresses state-specific taxes only.

California state income tax rates

There are nine California state income tax brackets for 2024 (the taxes you’ll file in 2025), with rates ranging from 1% to 12.3%, depending on your income. There’s also a 1% mental health services tax surcharge on taxable income over $1 million, bringing the top effective rate to 13.3%. California state taxes are due on April 15 each year, aligning with the federal tax deadline. 

Each filing status has its own set of tax brackets, so refer to the charts below to see how your specific status impacts your rates. 

It’s important to note that California does not tax all your income at the same rate. For example, using the table below: 

• A taxpayer filing as single earning $24,000 would pay: 1% on their first $10,756 of income and 2% on the remaining $13,244.  
• A taxpayer filing as single earning $35,000 would pay 1% on the first $10,756, 2% on the next $14,743, and 4% on the final $9,501.

Tax rate	Single or Married Filing Separately	Married Filing Jointly or Qualifying Surviving Spouse	Head of Household
1%	Up to $10,756	Up to $21,512	Up to $21,527
2%	$10,757 to $25,499	$21,513 to $50,998	$21,528 to $51,000
4%	$25,500 to $40,245	$50,999 to $80,490	$51,001 to $65,744
6%	$40,246 to $55,866	$80,491 to $111,732	$65,745 to $81,364
8%	$55,867 to $70,606	$111,733 to $141,212	$81,365 to $96,107
9.3%	$70,607 to $360,659	$141,213 to $721,318	$96,108 to $490,493
10.3%	$360,660 to $432,787	$721,319 to $865,574	$490,494 to $588,593
11.3%	$432,788 to $721,314	$865,575 to $1,442,628	$588,594 to $980,987
12.3%	$721,315 and over	$1,442,629 and over	$980,988 and over

Source: California Franchise Tax Board (CFTB) 

Note: If your taxable income is $100,000 or less, use the tax table listed on the CFTB website to calculate your taxes owed.

What is the standard deduction in California?

The standard deduction reduces your taxable income,which results in a lower amount of taxes owed. For the 2024 tax year, the standard deduction in California is: 

• Single or Married Filing Separately: $5,540 
• Married Filing Jointly, Head of Household, or Qualifying Surviving Spouse: $11,080 

Taking the standard deduction can simplify filing your California state income taxes. It automatically lowers your taxable income. This is beneficial if you are unable to itemize deductions.

Who has to file California state income tax?

You must file a California state income tax return if you’re a resident, part-year resident, or nonresident and any of the following apply: 

• You have income from California sources. 
• You’re required to file a federal return. 
• You have income above certain thresholds. 

Be sure to check the income limits to confirm filing a California income tax return is necessary for you.

How California residency impacts tax filing

California classifies individuals into three residency statuses for tax purposes: resident, part-year resident, and nonresident. Each status determines how much of your income is subject to California income tax.  

The table below outlines the different residency statuses, who qualifies, and how California taxes each. 

Residency status	Definition	How California taxes income
Resident	You live in California permanently, or you’re based in California but are temporarily living outside the state.	You’re taxed on all income, no matter where it’s earned.
Part-year resident	You lived in California for part of the year and lived elsewhere for the rest.	You’re taxed on income earned while you lived in California and any income from California sources while you were away.
Nonresident	You don’t live in California but earned money from California sources (such as a job performed within the state, property, or business located within the state).	You’re taxed on income from California sources.

Other income tax considerations in California

How does California tax income beyond wages and salaries? For example, how does it treat income from sources such as retirement, investments, Social Security, and military pay? 

Here are the rules for each category and how they’re taxed: 

• Retirement and pension income tax: Money withdrawn from pensions and retirement accounts like 401(k), 403(b), and individual retirement accounts (IRAs) are taxed as regular income for California residents. There’s an additional state tax of 2.5% on early distributions (funds withdrawn before the age of 59½). 
• Investment income tax: Interest, dividends, and capital gains are taxed as regular income for California residents. 
• Social Security income tax: California does not tax Social Security benefits. 
• Military income tax: An individual who is domiciled within California while entering the military is considered to be a resident of California and all military pay would be taxable within California as a resident. If the military member is assigned to a post outside of California, the individual will then file as a nonresident in California and only be taxed on income from California sources. However, if you entered the military while a resident of another state, and you live in or out of California due to a permanent change of station (PCS) orders, you’re considered a nonresident and will only be taxed on California-sourced income. All combat pay is tax-free.  

Common California tax credits

Tax credit	Description	Amount
California Earned Income Tax Credit (CalEITC)	Helps low-income individuals and families with income under $31,950.	Up to $3,644
Child Adoption Costs Credit	Covers 50% of the costs of adopting a qualified child.	Up to $2,500 per child in a tax year
Child and Dependent Care Expenses Credit	Covers costs if you paid someone to care for a child or dependent.	Up to $3,000 for one person, $6,000 for two or more
College Access Tax Credit (CATC)	Encourages donations to the College Access Tax Credit Fund.	Up to 50% of your contribution
Dependent Parent Credit	For taxpayers supporting a dependent parent. Your parent doesn’t have to live with you.	Up to $592
Foster Youth Tax Credit (FYTC)	Offers financial support for current or former foster youth.	Up to $1,154 per eligible individual
Joint Custody Head of Household	For taxpayers sharing custody of a child but not living together.	Up to $592
Nonrefundable Renter’s Credit	Available for renters with incomes below a certain threshold who paid rent for at least 6 months during the year.	Up to $60 (single) or $120 (married)
Other State Tax Credit	Provides relief for taxes paid to another state so you aren’t paying taxes twice.	Varies based on other state taxes
Prior Year Alternative Minimum Tax (AMT)	Reduces tax owed if you paid AMT in prior years.	Varies based on AMT paid
Senior Head of Household Credit	For people 65 and over acting as head of household with dependent income.	Up to $1,806
Young Child Tax Credit (YCTC)	Additional support for families with young children.	Up to $1,154 per return

For the complete list of California’s tax credits and deductions, visit the California Franchise Tax Board website.

How to file California income tax

Filing California state income taxes can feel overwhelming. Thankfully, you don’t have to handle it alone. TurboTax makes filing easy, ensuring you get every deduction and credit you’re entitled to help you keep more money in your pocket. 

Prefer extra support? You can always connect with a California tax expert who can offer advice or even file your taxes for you. 

With TurboTax, filing taxes is smooth, simple, and tailored to you. Let us help you get the biggest tax refund possible.