What is the tax rate for self-employment income?

In California, the tax rate for self-employment income is based on the net income of the business. This taxation scheme is known as Pay-As-You-Earn, or PAYE. The PAYE system taxes the net income of the business instead of the gross income. The rate ranges from 1.5% to 12.3%. The tax rate will usually depend on the amount of net income the business earns. For example, a business earning an income of $50,000 or less will be taxed at a rate of 1.5%. If the business earns between $50,000 and $250,000, the rate increases gradually up to 9.3%. Businesses with an income of more than $250,000 will be taxed at the highest rate of 12.3%. Pay-As-You-Earn is the taxation system used by the State of California to tax self-employment income. The taxes are based on the net income of the business, and the rate ranges from 1.5% to 12.3%. The rate will depend on the amount of net income the business earns. Paying taxes on self-employment income can be complicated, so it is important to consult a tax professional to ensure that the correct amount is paid.

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What is the tax rate for self-employment income?

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