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Sanders Rallies in Los Angeles as California’s Billionaire Tax Battle Intensifies

The union-backed plan would impose a one-time 5% levy on residents worth over $1 billion to shore up health-care funding.

Overview

  • Sen. Bernie Sanders headlined a downtown Los Angeles rally to boost the proposed wealth tax, highlighting a divide with Gov. Gavin Newsom, who opposes it.
  • Rep. Kevin Kiley said he will introduce the Keep Jobs in California Act to bar states from retroactively taxing former residents, targeting a core feature of the proposal.
  • Tech donors have escalated opposition, with Sergey Brin contributing $20 million and the Building a Better California effort reporting about $35 million raised.
  • Backers say the measure could raise roughly $100 billion, applies to those deemed California residents on Jan. 1, 2026, and allows multi‑year payment plans and deferrals for illiquid assets.
  • The initiative remains in signature gathering, facing design and legal questions over valuation rules and concerns about wealthy residents relocating out of state.