California has the nation's fourth-highest income tax (10.55%) behind Hawaii and Oregon (both with 11%) and New Jersey (10.75%). It also has the sixth highest overall U.S. tax burden, according to the nonpartisan Tax Foundation. In contrast, Texas has the eighth-lowest tax burden and is one of nine states that don't tax earned income. The others: Washington, Florida, Tennessee, New Hampshire, South Dakota, Wyoming, Nevada and Alaska.
~ Karen Hube, "Fleeing the Tax Man," Barron's, September 28, 2009