What is the California Billionaire Tax Act?

California voters are being asked to approve Initiative No. 25-0024, dubbed the “2026 Billionaire Tax Act.” If passed, it would impose a one-time 5% wealth tax on any individual or applicable trust with a net worth of $1 billion or more as of December 31, 2026. This is not an income tax. It is a tax on accumulated wealth — and it comes with some of the most complex valuation and enforcement machinery California has ever put on the books.

If you would like more details, I will be presenting on this subject on June 30, 2026 for the CalTax Foundation.