By — Sophie Austin, Associated Press Sophie Austin, Associated Press Leave your feedback Share Copy URL https://www.pbs.org/newshour/politics/california-voters-consider-proposition-to-tax-billionaires-wealth Email Facebook Twitter LinkedIn Pinterest Tumblr Share on Facebook Share on Twitter California voters consider proposition to tax billionaires' wealth Politics Nov 3, 2026 12:04 PM EST 2026 ELECTION COVERAGE: Watch Live | Poll Closing Times | All Live Results | Live Updates | Live Fact Check SACRAMENTO, Calif. (AP) — California could become the first state in the nation to tax the net worth of billionaires Tuesday under a ballot measure that has divided liberal leaders nationally and triggered one of the most expensive ballot fights in state history as the ultra-rich scramble to figure out whether they would pay the tax or flee. Proposition 40 would impose a one-time 5% tax on the wealth of Californians whose net worth exceeds $1 billion, with most of the revenue dedicated to replacing federal funding cuts to healthcare. Vermont Sen. Bernie Sanders has framed the proposal as a monumental step toward reining in deep wealth inequality by ensuring the ultra-rich pay their fair share.…
California voters consider proposition to tax billionaires' wealth
In short
The proposed wealth tax would make California the first state in the nation to impose a direct levy on billionaire fortunes, generating critical revenue for state healthcare programs. However, the opposition has built a massive financial advantage, raising about ten times more money with backing from venture capitalists and tech moguls like Larry Page and Sergey Brin. Opponents such as the California Teachers Association argue the policy risks state budget stability. Recent polling shows a majority of likely voters now oppose the measure ahead of the election.
Key points
- Campaign fundraising has heavily favored the opposition, which has raised approximately t…: Campaign fundraising has heavily favored the opposition, which has raised approximately ten times more cash than pro-tax groups.
- The initiative has splintered traditional political allies, drawing resistance from promi…: The initiative has splintered traditional political allies, drawing resistance from prominent Democrats including Governor Gavin Newsom and Planned Parenthood.
- Even with voter approval, Proposition 40 could be nullified if competing anti-tax ballot…: Even with voter approval, Proposition 40 could be nullified if competing anti-tax ballot measures secure a higher number of affirmative votes.