How much does the 1% pay in taxes in California? Here’s how numbers break down
Tax season is in full swing in California.
Whether you’ve already filed your tax return or you’re waiting to , you may be curious how much the super wealthy pay in taxes.
“The only time the financial status of the top 1% of Americans doesn’t induce envy is during tax season.” personal finance website GoBankingRates wrote in a March 31 article.
According to GoBankingRates, the top 1% of U.S. income earners shell out “a few billion to more than $100 billion in taxes.”
Top earners in Wyoming pay the highest share of federal income taxes compared to those in other parts of the United States, according to GoBankingRates’ analysis of the latest IRS data.
The top 1% paid 54.7% of all federal income taxes in Wyoming with payments totaling about $2.5 billion, the site’s study found.
Meanwhile, the top 1% in Alaska paid the lowest total share of income taxes — 26.37% — compared to other super wealthy in states across the nation.
Those Alaskan taxpayers paid about $1 billion in federal income taxes.
Here’s how much super wealthy taxpayers in California compared:
When are taxes due in California? Can I get an extension?
Tax Day is Tuesday, April 15.
That’s when individual tax returns are due to the Internal Revenue Service and the California Franchise Tax Board, as well as any payment on taxes owed.
The IRS and the state of California allow individual taxpayers to file their tax returns up to six months after the deadline, The Sacramento Bee previously reported.
However, payments on any outstanding tax due must be made by April 15, the IRS said.
You can also get a filing extension on the federal tax deadline if you were impacted by Los Angeles County wildfires in January, according to previous coverage by The Bee.
Californians impacted by the Palisades Fire, Eaton Fire and other blazes wait until Wednesday, Oct. 15, to file their tax returns and pay any outstanding taxes due, the IRS said.
How much does 1% pay in taxes in California?
Where do super wealthy pay highest share of income tax?
These were the 10 U.S. states where the top 1% had the highest share of federal income taxes, according to GoBanking Rates:
- Wyoming: 54.67% of total income tax share
- Florida: 53.62%
- Nevada: 51.12%
- New York: 46.26%
- Texas: 44.52%
- Connecticut: 43.85%
- Montana: 42.92%
- Arkansas: 42.22%
- Utah: 41.16%
- Tennessee: 41.04%
Who pays the most income taxes in US?
According to the GoBankingRates study, the top %1 paid more than $50 billion in federal income taxes in states, including California.
These were the top 10 states where the super wealthy paid the most in total income taxes, the study found:
- California: $122.4 billion
- Florida: $96.2 billion
- Texas: $81.9 billion
- New York: $79.4 billion
- Illinois: $32.6 billion
- New Jersey: $26.8 billion
- Massachusetts: $26.6 billion
- Pennsylvania: $26.1 billion
- Georgia: $21 billion
- Washington: $20 billion
How did GoBankingRates come up with rankings?
To discover how much the top 1% pay in taxes across the United States, GoBankingRates said it analyzed individual tax returns by state.
The personal finance website also looked at data from the U.S. Census Bureau’s American Community Survey and U.S. Bureau of Labor Statistics’ Consumer Expenditure Survey as well as Zillow Home Value Index, Federal Reserve Economic Data and Missouri Economic Research and Information Center.
Using data from the IRS’s statistics of income, GoBanking Rates included individual tax rates by income percentiles and by state.
Researchers then sorted the states to show the highest to lowest tax share percentage.
All data was collected on and was up to date as of March 6, GoBankingRates said.
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