Taxes are based on marginal rates. The more you make the more you pay. If you are a high earner making $300k in California your combined rate (federal/state/fica) is 38% and you pay $114k in tax. If you are middle class make $60k your combined rate is 22% and you pay $13.3k.
If you are a business owner and most of your income comes from capital gains, still not possible to pay anywhere near 22%. Rate on capital gains is 33.3% (20% federal + 13.3% state).
If you are a business owner and most of your income comes from capital gains, still not possible to pay anywhere near 22%. Rate on capital gains is 33.3% (20% federal + 13.3% state).