California Governor Gavin Newsom has called for a national billionaires tax, asserting that the effort to increase taxes on the wealthiest Americans should occur at the federal level rather than on a state-by-state basis. This stance comes as a wealth tax proposal targeting California's wealthiest residents is set to appear on the November ballot, a measure to which Newsom has declared his opposition.
Newsom stated on Friday that he is voting no on the California wealth tax, which aims to impose a 5% tax on the state's richest individuals to fund healthcare services. He argued that the fight for increased taxation on the wealthy belongs at the federal level, where he contends the "broken system" originated.
"It's time for a national billionaires tax and a new social contract," Newsom posted on X, formerly Twitter, on June 26, 2026. "10% of Americans own two-thirds of the wealth. Wages have stagnated. The cost of living has skyrocketed. The system is fundamentally broken."
The governor's position highlights a divergence between his advocacy for federal tax reform and his opposition to a similar initiative within his own state. The California measure, if passed, would significantly impact the state's wealthiest residents by levying a tax designed to generate revenue for state healthcare programs.