California state income tax brackets and rates 2024

When it comes to paying taxes, California has a system that stands out for its complexity and high rates. Unlike states with no income tax or a flat tax rate, California uses a progressive tax structure. This means that the more you earn, the higher your tax rate will be. If you live in California or earn money in the state, understanding how these tax brackets work is essential for planning your finances.

How Are California Tax Brackets Determined?

California's tax brackets are designed to ensure that people with higher incomes pay a larger percentage of their earnings in taxes. The state uses nine different income tax rates, which are applied based on how much money you make and your filing status. This approach is intended to balance the tax burden across different income levels, with higher earners contributing more to state-funded programs and services.

These taxes are used to support a variety of essential services in California, including education, social services, transportation, public assistance, corrections, and infrastructure. So, when you pay your California state income tax, you're contributing to the state's ability to provide these important resources.

California Income Tax Brackets and Rates

Let's dive into the specific tax brackets and rates for different filing statuses. These rates apply to income earned in 2023 and will be reported on your 2024 tax return.

California Tax Brackets for Single and Married Filing Separately Taxpayers

If you're filing as a single taxpayer or as married/registered domestic partners filing separately, here’s how your income will be taxed:

This progressive system ensures that your tax rate increases as your income rises, with higher income brackets subject to higher rates.

Read more about how to file yor taxes online

California Tax Brackets for Married Filing Jointly and Qualifying Surviving Spouse/RDP

For those who are married filing jointly, registered domestic partners filing jointly, or qualifying surviving spouses, the tax brackets are as follows:

Filing jointly or as a qualifying surviving spouse generally offers broader brackets, which can be beneficial for couples combining their incomes.

California Tax Brackets for Head of Household Filers

For those who qualify as head of household, typically single parents or those supporting dependents, the tax brackets look like this:

These brackets offer a bit more room at the lower income levels, which can help reduce the tax burden for those supporting a household on a single income.

California State Income Tax Deadline and Extensions

Just like federal taxes, California state income tax returns are due on April 15, 2024. However, if you’ve been impacted by a disaster, like the recent floods in San Diego County, you might be eligible for an automatic disaster relief tax extension. This extension pushes your deadline to June 17, 2024, giving you extra time to file and pay your taxes.

If you’re unable to meet the April 15 deadline, California also provides an automatic six-month extension to file your return. However, any taxes you owe still need to be paid by the original April deadline to avoid penalties and interest.

California's Standard Deduction

The standard deduction is an essential part of your tax return because it reduces the amount of your income that is subject to tax. For 2023, the standard deductions in California are:

• $5,363 for single filers or married/registered domestic partners filing separately.

• $10,726 for married/registered domestic partners filing jointly, qualifying surviving spouses, or heads of household.

Choosing the standard deduction simplifies the filing process, especially if your itemized deductions don't exceed these amounts.

Key California State Tax Credits