Story perspectives

Tech Titans Fight California's Proposed Wealth Tax Push

1/20/2026

Summary

Story summary

California's proposed 5 percent wealth tax faces opposition from Sergey Brin and Larry Page, Google's co-founders, who relocate assets out of state.
Governor Gavin Newsom (D-CA) has vowed to fight the tax.
Newsom has historically opposed wealth taxes, fearing they would stifle the tech industry.
A health care union is pushing to place the tax on the November ballot, retroactive to residents as of January 1, 2026.

History

Historical Context

California's Proposition 13, passed in 1978, capped property tax increases and significantly reduced local government revenue, leading to a 60% decline in property tax revenue the following year. This measure, championed by Howard Jarvis, sparked a nationwide "taxpayer revolt." The current wealth tax proposal, opposed by tech leaders like Sergey Brin and Larry Page, reflects ongoing debates about taxation's impact on economic growth and public services.

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Story summary

California's proposed 5 percent wealth tax faces opposition from Sergey Brin and Larry Page, Google's co-founders, who relocate assets out of state.
Governor Gavin Newsom (D-CA) has vowed to fight the tax.
Newsom has historically opposed wealth taxes, fearing they would stifle the tech industry.
A health care union is pushing to place the tax on the November ballot, retroactive to residents as of January 1, 2026.

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