Steve Hilton launched an economic and infrastructure proposal aimed at distancing himself from large-scale projects funded with public resources. The politician promised that, if elected governor, he would cancel initiatives he considers excessively costly and time-consuming, including high-speed internet and high-speed rail projects.
"I will give taxpayers their money back," Hilton
stated when presenting his tax cut proposal. Among his main promises is
exempting the first $150,000 from taxes, a measure he argues will increase
taxpayers' disposable income.
Many Californians see these measures as a way to reduce the
tax burden and curb spending on large-scale projects. This is especially true
for informed citizens who have become aware of the dire conditions in the
wealthiest state in the country, all due to left-leaning Democratic
administrations that seek to extract every last penny from citizens.
Key Differences with
Other States
• State Income Tax:
• California: Has a progressive system ranging from 1% to
13.3% (plus an additional 1% for incomes exceeding one million dollars).
• Other States: At least nine states (such as Texas,
Florida, Alaska, Nevada, and Washington) do not levy any state income tax on
individuals. Other states apply flat rates or lower maximum rates (the highest
being Hawaii at 11% and New York at 10.9%).
• Sales Tax:
• California: Has a base state rate of 7.25%, but with
combined local taxes, it can range from 7.25% to 11.25% depending on the city
or county.
• Other States: Varies widely; states without a sales tax do
not exist, but some have very low rates or different levies (such as Hawaii
with its general sales tax of 4.5%).
• Overall Tax Burden:
Although California has the highest marginal income tax
rate, when measuring the total percentage of income residents pay in all types
of taxes (income, property, sales), California ranks around 11th in the nation
(with a total tax burden close to 13.5%), surpassed in overall tax burden by
states like Hawaii and New York.
In contrast, states like Alaska, Wyoming, Texas, and Florida
have much lower overall tax burdens (between 4.6% and 9% of the economy or
local income).