ABSTRACT
California’s tax structure (column 4) gives the roller-coaster added zip with its high initial marginal tax rate of 9% at the $10,000 bracket. This is followed immediately by a much lower rate of 3% at the $11,000 bracket. After that, there is a slow progressive ride upward to $33,000. The pattern for the combined California and federal tax rates (column 5) reveals two exceptional peaks at the $7,000 and $10,000 brackets-levels not attained again until income reaches $21,000.
