Speaker 1: In California's twenty twenty six mid term election, voters are
Speaker 1: going to be asked to vote on two ballot propositions
Speaker 1: to increase taxes, Propositions three and forty coming up. I'll
Speaker 1: give you an easy to understand explainer on what these
Speaker 1: propositions do and why you should vote no on both.
Speaker 1: I'm Carl Tomio, chairman of Reform California and a California
Speaker 1: state representative. And before we get on with an easy
Speaker 1: to understand explainer on Prop three and Prop forty, I
Speaker 1: want to invite you to get a full plain English
Speaker 1: voter guide from Reform California for every race, every measure
Speaker 1: on your ballot by going to the website election Guide
Speaker 1: California dot org. Election Guide California dot org. When you
Speaker 1: go there, type in your county and up will come
Speaker 1: a county specific voter guide for you to make voting
Speaker 1: simple and easy. We cover every one of the fourteen
Speaker 1: statewide ballot measures, but also all local measures on your ballot.
Speaker 1: And remember, the politicians are using biased, false and deceptive
Speaker 1: titles on these measures to hide tax increases and to
Speaker 1: try to manipulate your vote. So check out the plane
Speaker 1: English voter guide on the ballot measures to know what
Speaker 1: you're voting on. Secondly, a lot of voters are frustrated
Speaker 1: because they don't have a lot of information on candidates
Speaker 1: on their ballot for judge, school board, water district, fire board,
Speaker 1: city council. We evaluate all candidates for all offices on
Speaker 1: your ballot, and we only endorse the reform minded, common
Speaker 1: sense tax fighting candidates in your area. Lord knows we
Speaker 1: have enough tax raising far left lunatics running for office
Speaker 1: and in office in California. We don't need more. So
Speaker 1: please check out election Guide California dot org to get
Speaker 1: your local plane in which voter guide from Reform California. Okay.
Speaker 1: Prop thirty and Prop forty are two statewide tax increase measures.
Speaker 1: Mind you, there are other tax increases locally on your ballot,
Speaker 1: which is why you should check out your local voter
Speaker 1: guide that we provide. But Proposition three would impose a
Speaker 1: massive income tax increase in California. Proposition forty is a
Speaker 1: wealth or savings tax, brand new form of taxation. I'm
Speaker 1: going to cover both of these, So Prop three is
Speaker 1: an income tax increase. It would make permanent the highest
Speaker 1: in the nation income tax rates that California adopted about
Speaker 1: a decade ago. We used to have a nine point
Speaker 1: three percent highest rate for state income tax. That's already
Speaker 1: one of the highest rates in the nation. Prop three
Speaker 1: would make permanent the income tax hikes. It would go
Speaker 1: to ten point three percent to twelve point three percent
Speaker 1: of everything you're earning. It would impact high income individuals.
Speaker 1: To find us three hundred and seventy thousand dollars for
Speaker 1: a single filer or seven hundred and forty three thousand
Speaker 1: dollars for a joint filer. Now you might say, well, yeah,
Speaker 1: let's tax the ridge. In a moment, I'll explain the
Speaker 1: economic realities of why that actually gives us less money
Speaker 1: in California. The second measure is not an income tax.
Speaker 1: It is a savings tax or a wealth tax. Now
Speaker 1: they're saying that Prop. Forty is a billionaire's tax. It
Speaker 1: would implement a wealth tax on billionaires. But no, it's
Speaker 1: actually in everybody tax. It applies to all taxpayers. It
Speaker 1: says in Prop forty that the legislature, by a vote
Speaker 1: of the legislature, not a vote of the people, still
Speaker 1: would have the ability to impose the wealth tax or
Speaker 1: the savings tax on all all taxpayers. And let me
Speaker 1: tell you, as soon as you give politicians a wealth
Speaker 1: tax for the uber rich, they're coming for you. Now,
Speaker 1: what is a savings tax or a wealth tax? And
Speaker 1: you know what an income tax is, It's the money
Speaker 1: that you earn each year, a savings tax, A sales
Speaker 1: tax is what you spend each year, each purchase, a
Speaker 1: gas tax of car taxes on those items, a property
Speaker 1: taxes the value of your property. So all of these
Speaker 1: forms of taxation you're already paying. If you're able somehow
Speaker 1: to scrimp and save and put a little money in
Speaker 1: your savings account or your four to oh one K
Speaker 1: or your stock portfolio, or if your home builds up equity.
Speaker 1: The savings tax or the wealth tax would require that
Speaker 1: at the end of each year you have a snapshot
Speaker 1: of your value, your savings, your equity, your stockholdings, your
Speaker 1: retirement portfolio, and you'd have to pay a lump some
Speaker 1: off the top tax on all of that. This is
Speaker 1: devastating because many people have equity in their home but
Speaker 1: they have no cash in their account. But guess what
Speaker 1: the government would say, Well, you're sitting on one hundred
Speaker 1: thousand dollars of equity. You owe five grand a year
Speaker 1: for that, and the taxpayer would say I don't have
Speaker 1: that money. They'd say, fine, sell your home. Well, now
Speaker 1: they like that because that means that when you sell
Speaker 1: your home, the assessed value to the next buyer is
Speaker 1: increased as well. You understand that these people are absolutely
Speaker 1: vultures picking at the carcass of California taxpayers. That's what
Speaker 1: this Prop forty would do. Now. I know some of
Speaker 1: you are probably saying, well, which just going to apply
Speaker 1: to the rich? Why not do it? They're coming for you.
Speaker 1: But it also has a negative impact on our state
Speaker 1: budget because the wealthy individuals are leaving the state. Here's
Speaker 1: Fox News just from this summer, billions in taxpayer income
Speaker 1: are leaving two iconic states, California and New York. This
Speaker 1: is all according to IRS data. The IRS knows about
Speaker 1: tax filings in it says top ten counties with the
Speaker 1: largest net losses of taxpayers other states are all located
Speaker 1: in California and New York. What happens when a high
Speaker 1: income earner leaves the state, instead of paying a little
Speaker 1: bit more in taxes with the higher Prop three or
Speaker 1: Prop forty tax rates, they take one hundred percent of
Speaker 1: their tax increment to another state, and that state gets
Speaker 1: the revenue. We get zero. Take a look at this
Speaker 1: from the Center for Jobs. This is IRS data high
Speaker 1: earner migration from California. These are high earners people leaving
Speaker 1: the state of California, moving two almost none. We are
Speaker 1: constantly losing more and more high earners. California already has
Speaker 1: about forty to forty five percent of the nation's welfare recipients.
Speaker 1: We only have twelve percent of the population and that's dwindling.
Speaker 1: So we have a lot of people on government assistance
Speaker 1: not paying into the system, while the people paying into
Speaker 1: the system are packing up and leaving. We pass Prop
Speaker 1: three and forty, it's going to continue. It actually doesn't
Speaker 1: raise revenue for our state. It will cost us revenue,
Speaker 1: and with those high net owners leaving the state, more
Speaker 1: burdens will be on taxpayers in the middle class. Your
Speaker 1: tax rates will go up, your services will be cut,
Speaker 1: and our job base will dry up. That's why we
Speaker 1: urge a no vote on Prop three, Prop three and
Speaker 1: Prop forty and all tax increases on your ballot for
Speaker 1: that matter. Spread the word on what Prop three and
Speaker 1: forty actually are doing by liking this video sharing it
Speaker 1: with your friends. Also share the voter guide with all
Speaker 1: of your contacts at election guide California dot org. Election
Speaker 1: guide California dot org. Thanks for watching and I hope
Speaker 1: you enjoyed this episode. But before you click away, please
Speaker 1: subscribe to this channel and click that notification button so
Speaker 1: you get updated when we post new episodes. Plus, like
Speaker 1: this video and share it with your friends so that
Speaker 1: we can help spread our message across the state.