Tax News
2013 State Income Tax Rate Schedules Adjusted

We released the 2013 state tax brackets. Brackets are “indexed” each year by adjusting them to reflect changes in the California Consumer Price Index (CPI).

Filing requirement thresholds, the standard deduction, and certain credits were adjusted along with income tax brackets. We based these adjustments on the inflation rate of 1.7 percent, as measured by the California CPI for all urban consumers from June 2012 to June 2013. Last year California had an inflation rate that measured 1.9 percent.

Below are some of the changes to various items:

 

2013 Amounts

2012 Amounts

Standard deduction for single or married filing separate taxpayers

$3,906

$3,841

Standard deduction for joint, surviving spouse, or head of household taxpayers

$7,812

$7,682

Personal exemption credit amount for single, separate, and head of household taxpayers

$106

$104

Personal exemption credit amount for joint filers or surviving spouses

$212

$208

Dependent exemption credit

$326

$321

Renter’s Credit is available for single filers with adjusted gross incomes

$36,955 or less

$36,337 or less

Renter’s Credit is available for joint filers with adjusted gross incomes

$73,910 or less

$72,674 or less

In addition, we provide minimum filing requirement thresholds to ensure that most people who will not owe taxes are not required to file a state tax return. We adjust these tables each year to include the added senior exemption and the dependent exemption credits. For example, most single people under 65 years old with no dependents would not need to file a tax return until they have adjusted gross income of $12,562 or more. Adjusted gross income is total income increased or reduced by specific adjustments, before taking the standard or itemized deduction.

Other tax credits affected by indexing include the Joint Custody Head of Household Credit/ Dependent Parent Credit and Qualified Senior Head of Household Credit.

More information about the 2013 tax rates and exemptions will be available soon at ftb.ca.gov.

Back to September 2013 Tax News