Source: Los Angeles Times
Summary
California’s Proposition 40, also known as the “Billionaire’s Tax,” would impose a one-time 5% tax on the net worth of the state’s billionaires. The tax would apply to individuals with a net worth of over $50 million. According to supporters, the tax could generate up to $40 billion in revenue, which would be used to fund various state programs, including education and healthcare. The proposition is expected to be voted on in the 2024 election.
Our Reading
The announcement sounds ambitious. California is proposing a one-time 5% tax on its billionaires, because that’s never been tried before. The tax would apply to individuals with a net worth of over $50 million, because that’s a totally new and not-at-all-arbitrary threshold. The expected revenue is $40 billion, which will definitely be used exactly as promised. The proposition is a one-time thing, because billionaires won’t just find ways to avoid it or anything.
The “Billionaire’s Tax” is just another name for “we want their money.”
Author: Evan Null
