California billionaire tax secures enough signatures to make ballot

MoneyWatch California billionaire tax secures enough signatures to make ballot .chip { background-image: url('/fly/bundles/cbsnewscore/images/chip-bgd/chip-bgd-moneywatch.jpg'); } By Megan Cerullo Megan Cerullo Reporter, MoneyWatch Megan Cerullo is a New York-based reporter for CBS MoneyWatch covering small business, workplace, health care, consumer spending and personal finance topics. She regularly appears on CBS News 24/7 to discuss her reporting. Read Full Bio Megan Cerullo April 27, 2026 / 12:12 PM EDT / CBS News Add CBS News on Google Proponents of a proposal to tax California billionaires say they have obtained enough signatures for the measure to appear on the November ballot. The measure, proposed by Service Employees International Union-United Healthcare Workers West (SEIU-UHW), a union representing more than 120,000 California health care workers, would impose a one-time 5% tax on Californians with net worths of $1 billion or more.The union said it obtained more than 1.5 million signatures, exceeding the 875,000 required to qualify for the ballot.Called the "2026 Billionaire Tax Act," the statewide ballot measure is intended to prevent hospital and clinic closures across California and help fund public K-14 education and state food assistance programs, according to organizers. But the proposed tax has also proven divisive, with California Gov. Gavin Newsom arguing it could hurt the state's economy and budget if it drives its wealthiest residents to relocate.Raising $100 billionThe tax is projected to raise about $100 billion over five years, according to an analysis by the Institute on Taxation and Economic Policy. Backers argue that the roughly 200 billionaires in California have collectively amassed $2 trillion in wealth, yet pay less than 1.5% of that in annual taxes — a fraction of the effective tax rate paid by middle-class residents. The state tax rate for single filers earning about $25,000 to $70,000 ranges from 4% to 8%....