California's Proposed 2026 Billionaire Tax Act
Plain-English Summary
This initiative proposes a one-time excise tax on the net worth of California residents and applicable trusts with a net worth of at least $1 billion. The tax rate is 5% of the net worth, with a slight reduction for those between $1 billion and $1.1 billion. Revenue would fund health and education/food assistance accounts.
What each outcome does
If the initiative passes, California will impose a one-time 5% wealth tax on residents and trusts with a net worth of $1 billion or more, as determined on December 31, 2026. The collected revenue will be deposited into a new 2026 Billionaire Tax Reserve Fund, primarily for health and education/food assistance.
If the initiative fails, California will not implement the proposed one-time wealth tax on billionaires. The state will not create the 2026 Billionaire Tax Reserve Fund, and existing tax structures will remain in place.
Who is funding each side
BallotPulse is non-partisan. We summarize each outcome in plain English and disclose the money on both sides. We do not tell you how to vote. Always read the official ballot text and decide for yourself.