Overview
- The 2026 California Billionaire Tax Act would impose a one-time 5% tax on net worth above roughly $1 billion and would apply to business equity, securities, art, collectibles and intellectual property.
- The initiative is still in the signature-gathering stage for a potential November 2026 ballot, with SEIU‑United Healthcare Workers West leading the effort.
- California’s Legislative Analyst’s Office reports that about 90% of the proceeds would be directed to public health services, a point supporters highlight as they pitch the measure as an emergency fix for threatened healthcare funding.
- Gov. Gavin Newsom opposes the proposal, arguing it would reduce investment in priorities like education and public safety, and economists warn it could prompt wealth flight and dampen growth.
- A February Nestpoint poll found 60% of likely voters in favor, as reactions among the wealthy diverge, with Nvidia’s Jensen Huang saying he will stay in Silicon Valley and reports tying Larry Page to entity relocations and a Miami home purchase, while SEIU‑UHW says most billionaires appear to have remained in the state as of Jan. 1, 2026.