California Prop 40 would impose a one-time 5% tax on billionaires’ assets

California’s top 1% of households pay about 40% to 50% of the state’s personal income taxes.

Prop 40 would add a one-time tax of 5% on the assets of residents worth more than $1 billion.

Supporters say the money could help offset federal cuts to health spending.

Critics warn the measure could be changed or inspire future taxes, though its rules limit changes to those that further its purposes.