Newsom made some bold claims.
California Gov. Gavin Newsom is once again making headlines—this time by going after two of America’s most popular conservative states, Texas and Florida, with a bold claim that’s raising eyebrows across the country.
According to Newsom, these red states aren’t the low-tax havens many Americans believe them to be. In fact, he argues the opposite: that working families in Texas and Florida may actually be paying more than those in California.
Speaking at SXSW in Austin, Texas, Newsom framed the issue as a matter of fairness and economic justice.
“We have the most progressive tax system in America. Texas has one of the most regressive,” Newsom said. “Lower-income families in Texas are paying a bigger share of their income than the wealthy. So who’s really the high-tax state?”
He also took aim at Florida, calling it another example of a system where middle-class families carry more of the burden.
“Our middle class pays less than yours,” Newsom claimed. “The idea that the rich come to California and don’t pay taxes is simply not true.”
💥 Critics Push Back Hard
The response was swift—and sharp.
Tom Bevan, co-founder of RealClearPolitics, dismissed Newsom’s argument outright, calling it a “verifiable falsehood.” He pointed to a 2025 WalletHub report that ranks California among the highest-tax states in the nation—coming in at #4 overall, behind only Vermont, New York, and Hawaii.
For many conservatives and financial experts, that ranking tells a much clearer story.
📊 Two Very Different Ways to Measure Taxes
At the center of this debate is how taxes are measured.
Supporters of Newsom often cite studies from the Institute on Taxation and Economic Policy (ITEP), which focus on how tax burdens are distributed across income levels. By that metric, Texas and Florida rank among the most “regressive,” meaning lower-income residents pay a larger share of what they earn.
But here’s the key point critics emphasize:
👉 That’s not the same as saying those states are “higher tax” overall.
Because Texas and Florida don’t have a state income tax, they rely more on sales and property taxes—costs that can impact working families more directly.
California, on the other hand, leans heavily on high income taxes—especially on top earners.
💰 The Bigger Picture: Total Tax Burden
When you zoom out, the numbers paint a very different picture.
- California has the highest state income tax rate in the country (13.3%)
- Texas and Florida have zero state income tax
- Californians pay significantly more per person in total state and local taxes, according to the Tax Foundation
For retirees, small business owners, and middle-income households—this difference can be massive over time.
📉 Why Americans Are Leaving California
This debate isn’t happening in a vacuum.
In recent years, California has seen a steady flow of residents leaving the state, while Texas and Florida continue to attract new families, retirees, and businesses.
For many Americans—especially those on fixed incomes—the decision often comes down to one thing:
👉 Affordability
Lower taxes, lower housing costs, and fewer regulations have made red states increasingly appealing.
🔥 DeSantis Responds
Florida Gov. Ron DeSantis didn’t hold back when responding to Newsom’s comments.
“There are lies, damned lies, and statistics—and then there’s this claim,” DeSantis said. “Even supporters of California admit it’s one of the highest-tax states in America, with some of the highest sales, income, and gas taxes in the country.”
🇺🇸 The Bottom Line
At the end of the day, this debate highlights a growing divide in how states approach taxes, economic policy, and the role of government.
For millions of Americans—especially those nearing retirement or living on a fixed income—the question isn’t academic.
It’s personal.
And it may ultimately shape where they choose to live, work, and spend their later years.