Billionaire Tax

California’s proposed “Billionaire Tax Act,” a one-time 5% levy on the ultra-wealthy, faces significant voter skepticism and division. A recent poll shows initial support dipping when counterarguments are presented, with many voters doubting its revenue generation and fearing economic repercussions, including tax evasion and relocation of wealthy individuals. The initiative struggles to overcome concerns about potential negative outcomes outweighing promised healthcare funding benefits.

San Jose Mayor Matt Mahan opposes a proposed 5% wealth tax on California billionaires. He argues it will harm residents and the innovation economy, potentially increasing costs for working families. The measure, aiming to fund healthcare, faces criticism for potentially taxing unrealized capital gains. Tech leaders fear it will drive businesses and entrepreneurs out of state. While some support a wealth tax, concerns exist about its impact on startup founders with illiquid assets. The initiative requires significant signatures to appear on the ballot.