The state levies a personal income tax (PIT) on the income of individuals and noncorporate businesses, such as sole proprietors and partnerships, doing business in California. The rates of the tax range from 1 percent to 9.3 percent, depending upon the taxpayer’s income level (with an extra 1 percent levied on taxpayers’ incomes greater than $1 million). The state also levies a corporation tax (CT) on the net earnings of corporations operating within California at the rate of 8.84 percent. Both the PIT and CT allow various deductions from income and credits against any tax owed. The state also levies an estate tax payable upon death, equal to the amount of the available state tax credit allowed under the federal estate tax (this credit is currently zero). Finally, residential and commercial property is subject to a general-purpose local ad valorem property tax rate of up to 1 percent annually.