California voters fail to pass proposed one-time tax on billionaires’ wealth

Campaign over Prop 40, as measure was known, was most expensive in state history, flush with Silicon Valley dollars

California voters fail to pass proposed one-time tax on billionaires’ wealth

TL;DR

  • California billionaires defeated Proposition 40, a proposed one-time 5% wealth tax.
  • The campaign was the most expensive in California history, with opposition spending nearing $425 million.
  • Supporters, including healthcare unions and progressive politicians, stated the tax would fund healthcare and education programs.
  • Opponents, led by Silicon Valley billionaires, argued it was an "everyone tax."
  • The opposition campaign utilized two counter-measures, Propositions 41 and 42, to block Prop 40.
  • The result may impact nationwide momentum for taxing the ultra-wealthy.