SACRAMENTO, Calif., June 27 (Our California Times) — California Gov. Gavin Newsom said he will vote no on a billionaire wealth-tax initiative now on the state’s November ballot, shifting the debate to a federal tax proposal instead.
In a Substack post and video message, Newsom said the fight “belongs at the federal level” and argued that a national tax would be a better way to target extreme wealth. He also called for a minimum federal tax on Americans worth more than $100 million, changes to inheritance rules, tighter limits on borrowing against appreciated assets and higher corporate tax rates.
The California initiative would impose a 5% tax on people with assets above $1 billion. Newsom said wealthy residents could leave for states such as Texas or Florida to avoid a state-level levy.
Newsom had signaled opposition to the measure earlier this year. In an interview with The New York Times in January, he said he intended to stop the initiative and had been working behind the scenes against it, saying it could push wealth and business out of California.
