Budget deal made an unfair tax structure worse
Some definitions:
"Regressive" taxation means the less money you have, the higher a percentage you pay in taxes.
"Progressive" taxation means the more money you have, the higher a percentage you pay in taxes.
California has a progressive state income tax which just became less progressive with the new budget deal, and regressive sales and excise taxes, which just became more regressive with the new budget deal.
The chart above shows how taxes were skewed in California before the new budget deal. The poor were already paying more of their income than the rich. Now they will pay more yet.
Some definitions:
"Regressive" taxation means the less money you have, the higher a percentage you pay in taxes.
"Progressive" taxation means the more money you have, the higher a percentage you pay in taxes.
California has a progressive state income tax which just became less progressive with the new budget deal, and regressive sales and excise taxes, which just became more regressive with the new budget deal.
The chart above shows how taxes were skewed in California before the new budget deal. The poor were already paying more of their income than the rich. Now they will pay more yet.
