{
  "$comment": "California 2025: progressive PIT on state wages with standard deduction, exemption credits with AGI phase-out, 1% Behavioral (Mental) Health Services Tax over $1M as a 13.3% band; SDI 1.2% uncapped.",
  "country": "us",
  "jurisdiction": "us-ca",
  "taxYear": "2025",
  "period": {
    "start": "2025-01-01",
    "end": "2025-12-31",
    "tz": "America/Los_Angeles"
  },
  "status": "provisional",
  "engine": "us-payroll@1",
  "currency": "USD",
  "revision": 1,
  "params": {
    "incomeTax": {
      "kind": "brackets",
      "incomeBase": "stateWages",
      "brackets": {
        "single": [
          {
            "upTo": "11079",
            "rate": "0.01"
          },
          {
            "upTo": "26264",
            "rate": "0.02"
          },
          {
            "upTo": "41452",
            "rate": "0.04"
          },
          {
            "upTo": "57542",
            "rate": "0.06"
          },
          {
            "upTo": "72724",
            "rate": "0.08"
          },
          {
            "upTo": "371479",
            "rate": "0.093"
          },
          {
            "upTo": "445771",
            "rate": "0.103"
          },
          {
            "upTo": "742953",
            "rate": "0.113"
          },
          {
            "upTo": "1000000",
            "rate": "0.123"
          },
          {
            "upTo": null,
            "rate": "0.133"
          }
        ],
        "mfj": [
          {
            "upTo": "22158",
            "rate": "0.01"
          },
          {
            "upTo": "52528",
            "rate": "0.02"
          },
          {
            "upTo": "82904",
            "rate": "0.04"
          },
          {
            "upTo": "115084",
            "rate": "0.06"
          },
          {
            "upTo": "145448",
            "rate": "0.08"
          },
          {
            "upTo": "742958",
            "rate": "0.093"
          },
          {
            "upTo": "891542",
            "rate": "0.103"
          },
          {
            "upTo": "1000000",
            "rate": "0.113"
          },
          {
            "upTo": "1485906",
            "rate": "0.123"
          },
          {
            "upTo": null,
            "rate": "0.133"
          }
        ],
        "mfs": [
          {
            "upTo": "11079",
            "rate": "0.01"
          },
          {
            "upTo": "26264",
            "rate": "0.02"
          },
          {
            "upTo": "41452",
            "rate": "0.04"
          },
          {
            "upTo": "57542",
            "rate": "0.06"
          },
          {
            "upTo": "72724",
            "rate": "0.08"
          },
          {
            "upTo": "371479",
            "rate": "0.093"
          },
          {
            "upTo": "445771",
            "rate": "0.103"
          },
          {
            "upTo": "742953",
            "rate": "0.113"
          },
          {
            "upTo": "1000000",
            "rate": "0.123"
          },
          {
            "upTo": null,
            "rate": "0.133"
          }
        ],
        "hoh": [
          {
            "upTo": "22173",
            "rate": "0.01"
          },
          {
            "upTo": "52530",
            "rate": "0.02"
          },
          {
            "upTo": "67716",
            "rate": "0.04"
          },
          {
            "upTo": "83805",
            "rate": "0.06"
          },
          {
            "upTo": "98990",
            "rate": "0.08"
          },
          {
            "upTo": "505208",
            "rate": "0.093"
          },
          {
            "upTo": "606251",
            "rate": "0.103"
          },
          {
            "upTo": "1000000",
            "rate": "0.113"
          },
          {
            "upTo": "1010417",
            "rate": "0.123"
          },
          {
            "upTo": null,
            "rate": "0.133"
          }
        ]
      },
      "deductions": [
        {
          "type": "fixed",
          "id": "standard-deduction",
          "label": "California standard deduction",
          "amount": {
            "single": "5706",
            "mfj": "11412",
            "mfs": "5706",
            "hoh": "11412"
          }
        }
      ],
      "credits": [
        {
          "type": "perPerson",
          "id": "exemption-credits",
          "label": "Personal and dependent exemption credits",
          "filer": {
            "single": "153",
            "mfj": "306",
            "mfs": "153",
            "hoh": "153"
          },
          "perDependent": "475",
          "phaseout": {
            "single": {
              "threshold": "252203",
              "rate": "0.0024",
              "floor": "0",
              "reductionRounding": {
                "unit": "6",
                "mode": "up"
              }
            },
            "mfj": {
              "threshold": "504411",
              "rate": "0.0024",
              "floor": "0",
              "reductionRounding": {
                "unit": "6",
                "mode": "up"
              }
            },
            "mfs": {
              "threshold": "252203",
              "rate": "0.0048",
              "floor": "0",
              "reductionRounding": {
                "unit": "6",
                "mode": "up"
              }
            },
            "hoh": {
              "threshold": "378310",
              "rate": "0.0024",
              "floor": "0",
              "reductionRounding": {
                "unit": "6",
                "mode": "up"
              }
            }
          },
          "phaseoutPer": "perCredit"
        }
      ]
    },
    "conformity": {
      "k401": true,
      "k403b": true,
      "k457": true,
      "hsa": false,
      "healthFsa": true,
      "dependentCareFsa": true,
      "section125": true
    },
    "programmes": [
      {
        "id": "sdi",
        "label": "CA SDI (State Disability Insurance incl. Paid Family Leave)",
        "rate": "0.012",
        "wageBase": null,
        "annualCap": null,
        "weeklyCap": null,
        "base": "ficaWages",
        "employerRate": null
      }
    ]
  },
  "rounding": {
    "unit": "0.01",
    "mode": "halfUp",
    "stage": "perLine"
  },
  "knownCliffs": [
    {
      "id": "exemption-credit-steps",
      "field": "params.incomeTax.credits",
      "description": "Each personal/dependent exemption credit falls by $6 for each $2,500 (or fraction; $1,250 MFS) of AGI over the threshold, so tax can rise by $6 per credit when AGI crosses a $2,500 step."
    }
  ],
  "notModelled": [
    "Itemized deductions (standard deduction always used)",
    "Blind and senior exemption credits",
    "California EITC, Young Child Tax Credit, Foster Youth Tax Credit (refundable)",
    "Nonrefundable renter's credit, child and dependent care credit and other special credits",
    "Alternative minimum tax",
    "Exemption-credit phase-out uses federal AGI on Form 540 line 13; the engine uses CA AGI, which differs when HSA contributions are made (CA adds them back)",
    "Dependent care FSA above the CA §129 limit ($5,000) is CA-taxable; modelled as fully excluded",
    "Tax table / schedule whole-dollar rounding (exact rates used)",
    "Voluntary Plan DI instead of State SDI",
    "Local taxes (no California local income tax on wages; SF/LA payroll taxes are employer-paid)"
  ],
  "sources": [
    {
      "field": "period",
      "url": "https://www.ftb.ca.gov/forms/2025/2025-540-booklet.pdf",
      "title": "FTB 2025 Form 540 Personal Income Tax Booklet (calendar tax year)",
      "retrieved": "2026-10-07"
    },
    {
      "field": "params.incomeTax.kind",
      "url": "https://www.ftb.ca.gov/forms/2025/2025-540-booklet.pdf",
      "title": "FTB 2025 Form 540 booklet — progressive personal income tax",
      "retrieved": "2026-10-07"
    },
    {
      "field": "params.incomeTax.incomeBase",
      "url": "https://www.ftb.ca.gov/forms/2025/2025-540-booklet.pdf",
      "title": "Form 540 lines 12–19: state wages (W-2 box 16) less CA standard deduction; Schedule CA adjustments",
      "retrieved": "2026-10-07"
    },
    {
      "field": "params.incomeTax.brackets",
      "url": "https://www.ftb.ca.gov/forms/2025/2025-540-booklet.pdf",
      "title": "2025 California Tax Rate Schedules X, Y, Z (p. 75) plus Form 540 line 62 Behavioral Health Services Tax (1% on taxable income over $1,000,000, all filing statuses) added as a final 13.3% band",
      "retrieved": "2026-10-07"
    },
    {
      "field": "params.incomeTax.deductions",
      "url": "https://www.ftb.ca.gov/forms/2025/2025-540-booklet.pdf",
      "title": "Form 540 line 18 — California Standard Deduction Chart for Most People ($5,706 / $11,412)",
      "retrieved": "2026-10-07"
    },
    {
      "field": "params.incomeTax.credits",
      "url": "https://www.ftb.ca.gov/forms/2025/2025-540-booklet.pdf",
      "title": "Form 540 lines 7 and 10 ($153 personal, $475 dependent) and line 32 AGI Limitation Worksheet ($6 per $2,500 or fraction, $1,250 if MFS, over $252,203/$504,411/$378,310)",
      "retrieved": "2026-10-07"
    },
    {
      "field": "params.incomeTax.brackets",
      "url": "https://www.ftb.ca.gov/about-ftb/newsroom/tax-news/2025/10.html",
      "title": "FTB Tax News October 2025 — 2025 indexing (CCPI 3.0%) of brackets, standard deduction and exemption credits",
      "retrieved": "2026-10-07"
    },
    {
      "field": "params.conformity",
      "url": "https://www.ftb.ca.gov/forms/2025/2025-540-booklet.pdf",
      "title": "Schedule CA (540) instructions: CA does not recognise HSAs (line 13 HSA deduction and employer HSA contributions W-2 code W added back on line 1h col. C); W-2 box 16 state wages exclude 401(k)/403(b)/457(b) elective deferrals, §125 and §129 amounts",
      "retrieved": "2026-10-07"
    },
    {
      "field": "params.programmes.0",
      "url": "https://edd.ca.gov/en/payroll_taxes/rates_and_withholding/",
      "title": "EDD Rates and Withholding — SDI withholding rate for 2025 is 1.2% ; no taxable wage limit since 1 Jan 2024 (SB 951)",
      "retrieved": "2026-10-07"
    },
    {
      "field": "rounding",
      "url": "https://www.ftb.ca.gov/forms/2025/2025-540-booklet.pdf",
      "title": "Engine rounds each line to the cent; the FTB tax table/schedules round to whole dollars (≤ $1 difference)",
      "retrieved": "2026-10-07"
    }
  ]
}