Key facts
- Proposition 40 proposes a 5% tax on the net worth of California's billionaires.
- The measure aims to raise an estimated $100 billion for healthcare funding.
- It would be the first wealth tax targeting billionaires globally.
- At least six billionaires have reportedly left California to avoid the tax.
- A September poll shows 45% of voters in favor, 42% opposed, and 13% undecided.
California voters are set to decide on Proposition 40, a ballot measure that would impose a one-time 5% tax on the net worth of the state's billionaires. The initiative aims to raise an estimated $100 billion to fund healthcare improvements and address budget shortfalls resulting from federal funding cuts. This proposed tax, if approved, would be the first of its kind globally, targeting the state's approximately 200 ultra-wealthy residents.