California billionaire tax trailed 56%-44% with 60% of vote counted
What's next: The likely defeat of Proposition 40 leaves Democrats weighing federal tax hikes on high earners after winning Congress.
California's proposed billionaire tax appeared headed for defeat as vote counting continued, with 55.6% of ballots opposing Proposition 40 and about 60% of the estimated statewide vote counted. The measure would impose a one-time 5% levy on the assets of roughly 250 California billionaires and was projected by supporters to raise about $100 billion, largely for healthcare programs facing federal funding cuts. The result would be a setback for progressive Democrats, including Bernie Sanders, while underscoring a split inside the party after Gov. Gavin Newsom opposed the plan. The healthcare union backing the measure signaled it could try again in 2028, even as Democrats in Washington consider broader tax increases on wealthy households.