California income tax: all you should know

Quick Tax Summary for California Taxpayers

• State Income Tax Rates: California operates on a progressive income tax system with nine tax brackets ranging from 1% to 12.3%. Additionally, taxable income exceeding $1,000,000 is subject to a 1% Mental Health Services Tax surcharge, bringing the maximum top rate to 13.3%.
• Tax Administration: California state income taxes are administered and collected by the California Franchise Tax Board (FTB), separate from federal taxes managed by the IRS.
• Filing Requirements: You must file a California state tax return if you are a resident, part-year resident, or non-resident with California-sourced income that exceeds minimum state income thresholds.
• Refund Tracking: You can track your state tax refund online using the official FTB "Check Your Refund" tool with your Social Security Number (SSN) or ITIN, ZIP code, and exact expected refund amount.
• Payment Methods: Payments can be submitted electronically for free through FTB Web Pay, by credit card, or via check with the appropriate FTB payment voucher.

Navigating state tax requirements can feel complex, but having clear, up-to-date information makes all the difference. At H&CO, we have prepared this guide to help you understand California’s tax bracket system, track your FTB refunds, and select the right payment options.

Is there a federal income tax rate specific to California? 

No, federal income tax is levied uniformly across the U.S. by the Internal Revenue Service (IRS). However, California imposes its own state income tax with nine progressive brackets ranging from 1% to 12.3%, plus a 1% Mental Health Services Tax surcharge on taxable income over $1,000,000 (reaching a maximum top rate of 13.3%). 

What are California state income tax rates?

California state income tax is a progressive tax system featuring nine tax brackets with marginal rates ranging from 1% to 12.3%, depending on your filing status and taxable income. In addition, California imposes a 1% Mental Health Services Tax surcharge on taxable income exceeding $1,000,000, bringing the highest effective personal income tax rate in the state to 13.3%. 

California state income tax rates for the year 2025 are as follows:

• Ranging from 1% to 12.3%
• Depend on your income and filing status
• Adjusted for the 2024 - 2025 taxes
• Progressive tax system
• Different tax rates than federal rates
• Wider tax brackets for joint filers.

>> Read about: Income Tax Planning for Individuals 

CA tax brackets for single filers

Source: California Franchise Tax Board.

CA tax brackets for married filing jointly

Source: California Franchise Tax Board.

CA tax brackets for married filing separately

Source: California Franchise Tax Board.

Note: If your taxable income is $100,000 or less, you must use the tax table on the California Franchise Tax Board's website to accurately calculate your taxes owed.

Who is required to pay state income tax in California?

You need to file a California state tax return if you are a resident, part-year resident, or non-resident, and one or more of the following apply to you:

1.  You must file a federal tax return.
2. You earned income from a source in California during the tax year.
3. Your income is above certain limits.

California state tax credits

Tax credits lower the amount of taxes you owe. Some credits may be refundable, which means if the credit is more than what you owe, you can get the extra back as a refund.

If you haven't filed your taxes yet or are filing late, here is a overview of popular tax credits available in California for the current tax year. This page will be updated with information on 2026 credits when it becomes available.

» MORE: Popular federal income tax breaks to know about

Young Child Tax Credit

To qualify, you must be eligible for the California Earned Income Tax Credit (CalEITC) and have a child under 6 years old by the end of the tax year. For tax year 2025, the maximum credit is up to $1,189 for eligible taxpayers earning $32,900 or less.

How can you check your California state income tax refund status?

You can track the status of your California state income tax refund online through the official California Franchise Tax Board (FTB) system by following these steps:

1. Go to the official California Franchise Tax Board (FTB) website at ftb.ca.gov.
2. Navigate to the "Check Your Refund" online tool.
3. Enter your Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN).
4. Enter your current ZIP code as stated on your filed tax return.
5. Provide the exact expected refund amount in whole dollars.
6. Click submit to view the real-time processing status of your return.

How do you pay your California state income tax to the FTB?

The California Franchise Tax Board (FTB) offers several payment options for taxpayers to clear their balance or make estimated tax payments:

• FTB Web Pay: A free service that allows you to pay directly from your bank account. No account registration is required; you only need your SSN or ITIN and routing information.
• Credit or Debit Card: Payments can be made online or by phone through third-party payment processors (convenience fees apply).
• Electronic Funds Withdrawal (EFW): You can schedule an automatic payment directly from your bank account when e-filing your return.
• Check or Money Order: Payable to the "Franchise Tax Board." Be sure to include your SSN or ITIN and the applicable tax year on the check, accompanied by Form FTB 3582 for personal income tax payments.

>> Make a payment:  https://www.ftb.ca.gov/pay/index.html 

Frequently Asked Questions About California Income Tax

What is the highest income tax rate in California?

The highest state income tax rate in California is 13.3%. This consists of the maximum marginal tax bracket of 12.3% plus a 1% Mental Health Services Tax surcharge applied to taxable income over $1,000,000.

Does California have a federal income tax?

No, California does not impose a federal income tax. Federal income tax is collected separately by the U.S. Internal Revenue Service (IRS). California residents pay state income taxes to the California Franchise Tax Board (FTB) and federal income taxes to the IRS.

When are California state income tax returns due?

California state income tax returns are typically due on April 15, matching the federal filing deadline, unless extended by official FTB disaster relief declarations or state extensions.

How do I know if I need to file a California state tax return as a non-resident?

You must file a California state tax return as a non-resident if you received income from California sources—such as wages for work performed in the state, income from property located in California, or business income tied to California operations—and your gross income exceeds the state minimum filing threshold for your status.

What happens if I pay my California state income tax late?

If you fail to pay your California state income tax by the original due date, the Franchise Tax Board (FTB) assesses a late payment penalty of 5% of the unpaid tax balance plus 0.5% per month until the balance is paid, up to a maximum of 25%. Interest also accrues daily on any unpaid tax and penalties from the original due date until full payment is received.

How we can assist you

We are a tax and accounting firm based in South Florida, but we serve the entire country. Our professionals know the laws and regulations in force to perform the task of preparing and advising individuals on their annual returns.

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