Under California’s personal income tax system, people with higher incomes pay a bigger percentage of tax on their income. State income tax rates range from 1% up to 9.3% for the highest income tax bracket. Personal income taxes are the largest source of revenue for the state’s General Fund, which provides most of California’s public school funding.
What Prop 38 would do if it passes:
Effect on the state budget:
People for Prop 38 say (www.ourchildrenourfuture2012.com):
People against Prop 38 say (www.stopthemiddleclasstaxhike.com):