State income taxes are levied by the state government on income earned within that state. California state income taxes need to be paid by residents of California. Even non-residents of California are subject to California income taxes, if they make money in the state.
California uses a graduated-rate tax system, which means that the percentage of tax you owe increases as your income goes up. This makes it important to know which income tax bracket you fall under.
Let’s take a closer look at the California state income tax rates and who owes California state taxes in 2022.
Why Are California State Income Taxes Required?
You already pay federal taxes, why are state income taxes required as well in California?
Each state has its own set of state income tax laws. The primary purpose of state income taxes is to raise revenue for the state government. California taxes are used to fund state-level programs, such as public schools, Medi-Cal, social services, and more.
Who Needs To Pay California State Income Tax?
So who exactly needs to pay California state income taxes?
Typically, those who need to file a California income tax return are those who:
- Received income from a California source
- Earned income over a certain threshold
- And are required to file a federal tax return
This criteria also includes three main categories of individuals: California residents, nonresidents, and part-year residents.
Here is what gets taxed depending on your residency status:
- Residents: All income from sources within California and outside of California
- Nonresidents: Any income from California sources
- Part-year residents: All income (sourced from within or outside California) while a California resident and all income from California sources while a non-resident
What Is My California Residency Status?
As you can see, your residency status plays a big role in determining your tax liability. Who is considered a resident? The Franchise Tax Board of California sets the residency rules.
You're a resident of California if you meet one of the following criteria:
- You were physically present in California for more than a temporary or transitory purpose
- Your permanent home is located in California, even if you were temporarily elsewhere for a time
For example, someone visiting California for a week's vacation would not be considered a resident, since that is a temporary presence.
And someone whose domicile is in California, but visits family in another state is still considered a California resident during the time they visit.
You are considered a nonresident if you do not meet the definition of a California resident.
A part-year resident is an individual who was a resident of California for part of the year, and a nonresident for another part of the year.
What Are The California State Income Tax Brackets?
Knowing which tax bracket you fall under is important to know to anticipate how much you will owe in state income taxes. Tax rates typically change a little each year, so it’s important to stay up-to-date on the latest rates.
We’ve put together this California state income tax bracket table to help you better understand your tax liability.
California State Income Tax Bracket Table
Single or Married Filing Separate
Married Filing Jointly or Qualifying Widow(er)
Head of Household
$0 to $9,325
$0 to $18,650
$0 to $18,663
$9,326 to $22,107
$18,651 to $44,214
$18,664 to $44,217
$22,108 to $34,892
$44,215 to $69,784
$44,218 to $56,999
$34,893 to $48,435
$69,785 to $96,870
$57,000 to $70,542
$48,436 to $61,214
$96,871 to $122,428
$70,543 to $83,324
$61,215 to $312,686
$122,429 to $625,372
$83,325 to $425,251
$312,687 to $375,221
$625,373 to $750,442
$425,252 to $510,303
$375,222 to $625,369
$750,443 to $1,250,738
$510,304 to $850,503
$625,370 and over
$1,250,739 and over
$850,504 and over
When Are 2022 California Taxes Due?
These tax brackets impact the taxes you file in 2022. The due date for filing taxes for income earned in 2021 is April 18th, 2022. California state income taxes typically have the same deadline as the federal tax deadline.
Chatterton & Associates Can Help With California State Income Taxes
Navigating taxes on your own can be confusing and overwhelming. But with the help of our professional tax preparers at Chatterton & Associates, you can breathe a little easier. We have the experience and knowledge to help you file your California state income taxes correctly and on time.
If you'd like to speak with a tax professional, contact us. We can help you understand your tax liability and give you peace of mind when it comes to filing your taxes in 2022.
The Team at Chatterton & Associates
Although the information has been gathered from sources believed to be reliable, it cannot be guaranteed. Federal tax laws are complex and subject to change. This information is not intended to be a substitute for specific individualized tax or legal advice. Neither Royal Alliance Associates, Inc nor its representatives provide tax or legal advice. As with all matters of a tax or legal nature, you should consult with your tax or legal counsel for advice.