California Weighs Wealth Tax

What happened

Updated Oct 30, 4:49pm ET

California is weighing Proposition 40, which would impose a one-time 5% tax on billionaires’ assets. The measure applies to people worth at least $1 billion who lived in California on Jan. 1, 2026, with most revenue for health care and the rest for education and food aid. It followed federal health care cuts that left a funding gap; supporters say it would protect coverage. The fight has split Democrats and labor groups, with Gov. Gavin Newsom opposed and the California Democratic Party supportive. Opponents have spent hundreds of millions and back Propositions 41 and 42 as countermeasures. Supporters of Proposition 42 say savings should not face new taxes. Voters decide all three on Election Day; whether the billionaire tax takes effect remains unresolved.

How the left told it

Left-leaning outlets framed Proposition 40 as a fight over wealth, services and the risks of wealth taxes. The Los Angeles Times emphasized political spending and divisions among Democrats and unions. The Guardian cast the measure as an urgent answer to Trump’s health care cuts. The New York Times stressed fears it could drive billionaires away or reach retirement savings.

How the right told it

Only one right-leaning outlet we track covered this: PJ Media, under the headline “Billionaires Compensate Us Many Times Over. Wealth Taxes Endanger That”.