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<PAGE> PAGE 2
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<PAGE> PAGE 3
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<PAGE> PAGE 4
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SIGNATURE DIOMEDES LOO-TAM
TITLE TREASURER
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FRANKLIN CALIFORNIA TAX-FREE INCOME FUND MARCH 31, 1996 ANNUAL REPORT AND
IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<SERIES>
<NUMBER> 011
<NAME> FRANKLIN CALIFORNIA TAX-FREE INCOME FUND, INC. - CLASS I
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> MAR-31-1996
<PERIOD-END> MAR-31-1996
<INVESTMENTS-AT-COST> 12,675,024,069
<INVESTMENTS-AT-VALUE> 13,235,359,144
<RECEIVABLES> 227,144,817
<ASSETS-OTHER> 8,409,708
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 13,470,913,669
<PAYABLE-FOR-SECURITIES> 100,788,213
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 9,774,364
<TOTAL-LIABILITIES> 110,562,577
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 12,690,321,710
<SHARES-COMMON-STOCK> 1,853,430,596
<SHARES-COMMON-PRIOR> 1,816,904,357
<ACCUMULATED-NII-CURRENT> 20,574,321
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 89,119,986
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 560,335,075
<NET-ASSETS> 13,360,351,092
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 886,895,092
<OTHER-INCOME> 0
<EXPENSES-NET> (73,344,076)
<NET-INVESTMENT-INCOME> 813,551,016
<REALIZED-GAINS-CURRENT> 103,262,760
<APPREC-INCREASE-CURRENT> 24,322,955
<NET-CHANGE-FROM-OPS> 941,136,731
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (813,322,623)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 201,620,716
<NUMBER-OF-SHARES-REDEEMED> (207,875,226)
<SHARES-REINVESTED> 42,780,749
<NET-CHANGE-IN-ASSETS> 437,313,022
<ACCUMULATED-NII-PRIOR> 21,277,878
<ACCUMULATED-GAINS-PRIOR> (14,142,774)
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 59,513,109
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 73,344,076
<AVERAGE-NET-ASSETS> 13,249,310,343
<PER-SHARE-NAV-BEGIN> 7.110
<PER-SHARE-NII> .440
<PER-SHARE-GAIN-APPREC> .074
<PER-SHARE-DIVIDEND> (.444)
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 7.180
<EXPENSE-RATIO> .550
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> .000
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FRANKLIN CALIFORNIA TAX-FREE INCOME FUND MARCH 31, 1996 ANNUAL REPORT AND
IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<SERIES>
<NUMBER> 012
<NAME> FRANKLIN CALIFORNIA TAX-FREE INCOME FUND, INC. - CLASS II
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> MAR-31-1996
<PERIOD-END> MAR-31-1996
<INVESTMENTS-AT-COST> 12,675,024,069
<INVESTMENTS-AT-VALUE> 13,235,359,144
<RECEIVABLES> 227,144,817
<ASSETS-OTHER> 8,409,708
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 13,470,913,669
<PAYABLE-FOR-SECURITIES> 100,788,213
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 9,774,364
<TOTAL-LIABILITIES> 110,562,577
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 12,690,321,710
<SHARES-COMMON-STOCK> 6,642,950
<SHARES-COMMON-PRIOR> 0
<ACCUMULATED-NII-CURRENT> 20,574,321
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 89,119,986
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 560,335,075
<NET-ASSETS> 13,360,351,092
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 886,895,092
<OTHER-INCOME> 0
<EXPENSES-NET> (73,344,076)
<NET-INVESTMENT-INCOME> 813,551,016
<REALIZED-GAINS-CURRENT> 103,262,760
<APPREC-INCREASE-CURRENT> 24,322,955
<NET-CHANGE-FROM-OPS> 941,136,731
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (931,950)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 6,721,771
<NUMBER-OF-SHARES-REDEEMED> (160,604)
<SHARES-REINVESTED> 81,783
<NET-CHANGE-IN-ASSETS> 437,313,022
<ACCUMULATED-NII-PRIOR> 21,277,878
<ACCUMULATED-GAINS-PRIOR> (14,142,774)
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 59,513,109
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 73,344,076
<AVERAGE-NET-ASSETS> 13,249,310,343
<PER-SHARE-NAV-BEGIN> 7.090
<PER-SHARE-NII> .380
<PER-SHARE-GAIN-APPREC> .082
<PER-SHARE-DIVIDEND> (.372)
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 7.180
<EXPENSE-RATIO> 1.140
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> .000
</TABLE>
REPORT OF INDEPENDENT AUDITORS
To the Shareholders and Board of Directors
of the Franklin California Tax-Free Income Fund, Inc.:
In planning and performing our audit of the financial statements and
financial highlights Franklin California Tax-Free Income Fund,
Inc. for the year ended March 31, 1996, we considered its internal
control structure, including procedures for safeguarding securities,
in order to determine our auditing procedures for the purpose of
expressing our opinion on the financial statements and financial
highlights and to comply with the requirements of Form N-SAR, not to
provide assurance on the internal control structure.
The management of Franklin California Tax-Free Income Fund, Inc.
is responsible for establishing and maintaining an internal control
structure. In fulfilling this responsibility, estimates and judgments
by management are required to assess the expected benefits and related
costs of internal control structure policies and procedures. Two of the
objectives of an internal control structure are to provide management
with reasonable, but not absolute, assurance that assets are
safeguarded against loss from unauthorized use or disposition and that
transactions are executed in accordance with management's authorization
and recorded properly to permit preparation of financial statements
in conformity with generally accepted accounting principles.
Because of inherent limitations in any internal control structure,
errors or irregularities may occur and not be detected. Also,
projection of any evaluation of the structure to future periods is
subject to the risk that it may become inadequate because of changes
in conditions or that the effectiveness of the design and operation
may deteriorate.
Our consideration of the internal control structure would not
necessarily disclose all matters in the internal control structure
that might be material weaknesses under standards established by
the American Institute of Certified Public Accountants. A material
weakness is a condition in which the design or operation of the
specific internal control structure elements does not reduce to a
relatively low level the risk that errors or irregularities in
amounts that would be material in relation to the financial
statements and financial highlights being audited may occur and
not be detected within a timely period by employees in the
normal course of performing their assigned functions. However,
we noted no matters involving the internal control structure,
including procedures for safeguarding securities, that we consider
to be material weaknesses, as defined above, as of March 31, 1996.
This report is intended solely for the information and use of management
of the Franklin California Tax-Free Income Fund, Inc. and the Securities
and Exchange Commission.
S\COOPERS AND LYBRAND L.L.P.
Coopers and Lybrand L.L.P.
San Francisco, California
May 2, 1996
