Most states have taxes, and California -- where many of the best contracts are -- has quite high taxes.

The self-employed aren't taxed extra per se: they "just" pay the employer and employee portions of the social taxes.

Which is a big pain when you're self-employed and feels super unfair, but that's the logic.

On the other hand you can put more money in a tax-deferred retirement account (401K etc) than regular employees, so I think it might cancel out the added tax if you have a good accountant.

Some examples of self employed taxes are so the individual can contribute to social programs like social security, unemployment and medicare.

Same here. Where are the state tax computation?

> And why are self-employed hit with a special tax?

To discourage self employment and innovation so people remain corporate slaves.