Story perspectives

California Prop 40: 48% Back 5% Billionaire Tax

By Drooid · Sep 30, 2026, 3:43 PM UTC · How we work

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Summary

Story summary

California voters will decide in November 2026 on Proposition 40, a one-time 5% tax on billionaires.
A NBCUniversal/Telemundo poll shows 48% favor, 38% oppose, and 14% undecided.
Ninety percent of the revenue would fund healthcare, ten percent education and food assistance.
Rep. Ro Khanna and Sen. Bernie Sanders back the measure, while Gov. Gavin Newsom and candidate Xavier Becerra oppose.

History

Historical Context

The 1913 ratification of the Sixteenth Amendment instituted a federal income tax, enabling the United States to levy progressive rates on high earners. President Woodrow Wilson signed the Revenue Act of 1913, setting a top marginal rate of 7% on incomes above $500,000, roughly $2 billion in revenue. Today's California Proposition 40 mirrors that legacy, proposing a one-time 5% levy on billionaires, backed by Rep. Ro Khanna and Sen. Bernie Sanders, while Gov. Gavin Newsom opposes. If approved in November 2026, the measure could generate $10 billion for healthcare and education, echoing early 20th-century reforms that reshaped fiscal policy.

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Story summary

California voters will decide in November 2026 on Proposition 40, a one-time 5% tax on billionaires.
A NBCUniversal/Telemundo poll shows 48% favor, 38% oppose, and 14% undecided.
Ninety percent of the revenue would fund healthcare, ten percent education and food assistance.
Rep. Ro Khanna and Sen. Bernie Sanders back the measure, while Gov. Gavin Newsom and candidate Xavier Becerra oppose.

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