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2h ago

California Billionaire Wealth Tax Gains Ground With Voters

Polling shows most voters favor a one-time levy despite warnings about job losses.

Homes can be seen in a neighborhood in Atherton in 2023. Some have suggested that a proposed tax on California’s billionaires could lead entrepreneurs to pull back from the Bay Area, restricting job growth — and future demand for housing.
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Overview

  • The union-backed initiative seeks a retroactive 5% tax on Californians with net worth above roughly $1 billion, calculated using Jan. 1 valuations.
  • A Nestpoint poll found 60% support among likely voters, with 54% still in favor after hearing economic and political objections.
  • Backers have not yet qualified the measure and must submit about 875,000 valid signatures by mid-April to reach the November ballot.
  • Governor Gavin Newsom opposes the plan, warning a one-time windfall could be followed by declining tax receipts as high earners move, and opponents are expected to mount expensive legal and messaging fights.
  • Economists and real estate agents say any direct impact on Bay Area home prices would likely be limited unless a broad corporate and worker exodus occurs, though some wealthy residents have already reduced their California ties.