A tax proposal targeting roughly 200 Californians, which could raise an estimated $100 billion, has cleared its biggest hurdle, with supporters submitting over 1.5 million petition signatures to state election officials. The California Billionaire Tax Act supporters submitted more than 1 million signatures, double the number needed to qualify for the November ballot. A competing initiative, the Transparency Act, is also collecting signatures and could neutralize the billionaire tax even if voters approve it. A successful wealth tax in California could set a precedent for state legislatures across the country regarding taxing the ultra-wealthy. The proposal would impose a one-time 5% tax on the net worth of billionaire residents as of Jan. 1, 2026, with the bill due to be due in 2027. Taxable assets would include businesses, securities, collectibles, and intellectual property, but real property and retirement accounts would be excluded. Critics argue that the wealth tax would result in lower investment in housing, machinery and equipment, and ultimately make everyone worse off. The measure has already led to an exodus of high-profile billionaires from California, including Google co-founders Larry Page and Sergey Brin. The Hoover Institution, a conservative-leaning think tank based at Stanford University, estimated that California could lose up to $25 billion once forgone income tax revenue from departing billionaires is accounted for.