3 ms·
It would create a marginal combined income tax rate of 54% when you combine federal and state taxes. From the article: "California’s top marginal tax rate is
by learc83 6y ago
It would create a marginal combined income tax rate of 54% when you combine federal and state taxes.
From the article:
"California’s top marginal tax rate is 13.3%. The new proposal would add three new surcharges on seven-figure earners. It would add a 1% surcharge to gross income of more than $1 million, 3% on income over $2 million and 3.5% on income above $5 million."
So basically 3.5% tax on income above $5 million.
- satya71 6y agoExactly, MARGINAL tax rate is different from the actual tax rate. It's the tax on the marginal dollar. There are deductions, and the first few hundred thousand are taxed at a lower rate.