California Billionaire Tax Fight Tops $351 Million in Donations

More than $351 million in political donations has poured into the campaign against California's proposed billionaire tax, making it one of the most expensive ballot contests in the state's history. The funds are being used to fund traditional advertising and sponsored social media posts designed to influence voters before the November election.

The controversy centers on Proposition 40, a one-time 5% tax on the assets of roughly 200 California billionaires. Opponents have raised the bulk of the money to support this tax and two additional measures, Propositions 41 and 42, which could block the wealth tax if passed. Billionaires, including Google co-founder Sergey Brin, have contributed millions to Building a Better California, the group funding the ads against the proposal.

Social media has become a primary battleground for the debate. Campaigns are compensating creators with hundreds of thousands of followers to post videos about the measures. Bartley Chavez, a mother with 47,500 Instagram followers, posted a video opposing Proposition 40 in October. The caption noted that the opposing campaign paid her for the content. In the video, she argued that the tax was an experiment with the state's economy and her family's financial future.

Leigh McGowan, a political influencer with 3.5 million followers across platforms, also received payment for some of her posts supporting the tax. She stated that the campaign was asking billionaires to pay an outstanding one-time tax to help the rest of the state. Other creators, such as The Speech Prof, have disclosed their financial arrangements in their videos, noting that the Prop 40 campaign paid them while the opposing side offered a larger sum that they rejected.

According to a report from the Center for Democracy & Technology and the University of Pittsburgh, paid posts for political campaigns range from a few hundred dollars to $30,000 per video. California law requires paid political posts to be disclosed. In September, Governor Gavin Newsom signed legislation allowing fines of up to $5,000 per post for influencers who fail to disclose their compensation.

The digital spending is part of a larger trend in the 2026 election cycle. AdImpact projects that total political advertising in California will approach $1 billion, with about $114 million allocated to digital platforms like Facebook, Google, Snapchat, and X. Campaign finance forms track total digital spending but do not specify how much goes directly to individual creators.

The next step is the November ballot, where voters will decide on Proposition 40 and the competing measures. If both Proposition 40 and Proposition 42 are approved, the measure with the most yes votes generally becomes law. Proposition 42 would prohibit new taxes on retirement holdings and individually owned assets, creating a direct conflict with the billionaire tax proposal.