While some California billionaires are slamming the proposed wealth tax and cutting ties with the state, other wealthy citizens are stepping forward to defend the policy.
Dave Nixon, a former healthcare executive, relocated from Florida to Pasadena, California, in 2022 in search of a community that more closely aligned with his values. He is a member of Patriotic Millionaires, an organization of affluent Americans that advocates for a fairer tax system, livable wages, and equal access to political power.
“I just felt like education, healthcare, all the things I care about that equalize society, were not being paid attention to [in Florida],” Nixon said in an interview with Fortune. “I still think that California does a better job on those things that matter.”
California’s latest proposal to tax extreme wealth, the 2026 Billionaire Tax Act, would impose a one-time 5% levy on the net worth of residents with assets of at least $1 billion, a category that currently pays no recurring wealth tax beyond existing income and capital-gains taxes. The measure is projected to raise on the order of $100 billion and would channel roughly 90% of the new revenue into health care programs, with the remainder earmarked for education, food assistance, and administering the tax through a dedicated reserve fund.
