California Governor Gavin Newsom is taking a tough stance in opposition to a proposed ballot measure that would impose a one-time 5% tax on billionaires with an annual net worth exceeding $1 billion. In recent interviews, Newsom has made it clear that he will "do what it takes" to block the proposal, which is backed by labor unions and is expected to go before voters in November.
Newsom's office has been engaged in a months-long effort to defeat the measure, with the governor personally meeting with union leaders. The proposal, known as the 2026 Billionaire Tax Act, would generate significant revenue for the state but has become a lightning rod for opposition from tech moguls and business groups who fear it will drive investments out of California.
Despite his relationships with billionaires such as Google founders Sergey Brin and Larry Page, Newsom is willing to take on his wealthy friends in order to protect the state's interests. The governor has pointed to their recent asset moves out of state as evidence that the tax would be a deterrent for high-net-worth individuals.
The proposal has sparked an intense backlash from some of California's most prominent billionaires, who have mobilized against it through various means. Peter Thiel, the Palantir founder, donated $3 million to a lobby group opposed to the tax, while Elon Musk's celebrity lawyer Alex Spiro wrote a letter to Newsom railing against the proposal.
The billionaire tax has become a symbol of a broader debate about wealth inequality and corporate responsibility. While some argue that the revenue generated by the tax could be used to fund public education programs and healthcare systems, others see it as a thinly veiled attempt to punish the state's most successful businesses.
Despite the opposition, the proposal still needs to gather 900,000 signatures to make it onto the ballot in November. If it does, Newsom will have to find a way to stop it without having any formal authority to veto the tax. The billionaire tax has become a contentious issue that is likely to dominate California politics for months to come.
Newsom's office has been engaged in a months-long effort to defeat the measure, with the governor personally meeting with union leaders. The proposal, known as the 2026 Billionaire Tax Act, would generate significant revenue for the state but has become a lightning rod for opposition from tech moguls and business groups who fear it will drive investments out of California.
Despite his relationships with billionaires such as Google founders Sergey Brin and Larry Page, Newsom is willing to take on his wealthy friends in order to protect the state's interests. The governor has pointed to their recent asset moves out of state as evidence that the tax would be a deterrent for high-net-worth individuals.
The proposal has sparked an intense backlash from some of California's most prominent billionaires, who have mobilized against it through various means. Peter Thiel, the Palantir founder, donated $3 million to a lobby group opposed to the tax, while Elon Musk's celebrity lawyer Alex Spiro wrote a letter to Newsom railing against the proposal.
The billionaire tax has become a symbol of a broader debate about wealth inequality and corporate responsibility. While some argue that the revenue generated by the tax could be used to fund public education programs and healthcare systems, others see it as a thinly veiled attempt to punish the state's most successful businesses.
Despite the opposition, the proposal still needs to gather 900,000 signatures to make it onto the ballot in November. If it does, Newsom will have to find a way to stop it without having any formal authority to veto the tax. The billionaire tax has become a contentious issue that is likely to dominate California politics for months to come.
! Like, Governor Newsom is finally taking a stand against those super rich people who are just hiding their money and not contributing enough to society 
. It's so unfair that they get to just move their assets out of state when we need the funds here in Cali 
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! And honestly, it's kinda refreshing to see a governor who isn't afraid to speak up against his wealthy friends when they're being unreasonable 
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. We need to start making changes to address wealth inequality and corporate responsibility, and if this tax is the way to do it, then so be it 
!
Gavin Newsom's rich friends are getting a little too comfy. They should've thought about that before becoming billionaires 
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I mean, he's got his eye on those Google founders and others like them, but instead of, you know, threatening to sue or something, he's just having a chat with 'em. It's all good vibes, bro! 
But at the end of the day, someone's gotta pay up, and that someone is those billionaires.
. He's standin' up to his rich friends and defendin' the state's interests, even if it means rufflin' a few feathers. I mean, let's be real, billionaires like Peter Thiel and Elon Musk can afford to throw $3 million at a lobby group, but Newsom's just tryin' to make California a better place for everyone 
. Newsom's stance on this is solid - we need to make sure our state has enough funding for essential programs that benefit everyone, not just a select few 
. I'm all for it 