CLOTAX
Tax & Accounting Service
STATES INFO
STATES WITH NO STATE INCOME TAXES
1. Alaska
Alaska has no state income or sales tax.
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2. Florida
Florida has no state income tax, but sales and property taxes are above the national average.
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3. Nevada
Nevada has no state income tax, but sales taxes, sin taxes and taxes on casinos and hotels are high.
4. South Dakota
South Dakota has no state income tax.
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5. Texas
Texas has no state income tax, but sales and property taxes are above the national average.
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6. Washington
Washington has no state income tax, but sales and exercise taxes are above the national average.
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7. Wyoming
Wyoming has no state income tax.
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8. Tennessee and New Hampshire
Tennessee and New Hampshire have no state income tax for wages (earned income) but do for interest and dividends. There will be new legislation for no income tax on interest and dividends soon.
STATE GOVERNMENT WEBSITE LINKS
CA: HEALTH INSURANCE COVERAGE
Health Insurance Coverage
As of 2022, only five states (California, Massachusetts, Rhode Island, New Jersey and Vermont) and the District of Columbia require all eligible residents to declare annual proof of health insurance coverage on state taxes. If you’re uninsured and don’t qualify for an exemption, you must pay a tax penalty determined by the state (except Vermont, which does not levy any fees).
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Personal health care mandate, California residents must either:
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Have qualifying health insurance coverage
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Obtain an exemption from the requirement to have coverage
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Pay a penalty when they file their state tax return
Generally speaking, a taxpayer who fails to secure and keep coverage will be subject to a penalty of $800 or more. The penalty for a dependent child is half of what it would be for an adult. married couple without coverage can be $1600 or more, and the penalty for a family of four with two dependent children could be $2,400 or more.​
CA: MIDDLE CLASS TAX REFUND
Middle Class Tax Refund (MCTR)
The Middle Class Tax Refund (MCTR) is a one-time payment to provide relief to Californians.
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If you are eligible, you will automatically receive a payment. Payments are expected to be issued between October 2022 and January 2023.
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What You May Receive
For your CA AGI, go to:
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Line 17 on your 2020 Form 540
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Line 16 on your 2020 Form 540 2EZ
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Single or Married/RDP Filing Separately