States Split on Tax Measures at Ballot Box
Voters in Colorado, California, Washington, and Florida weighed in on taxes on the wealthy and property taxes in measures decided this week.
Updated on Nov. 5, 2026 in Taxes
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Should wealthy households and corporations pay higher state taxes to fund public services?
Colorado voters are poised to back a measure raising taxes on wealthy households and corporations, while California voters supported permanently extending higher income taxes on top earners. Washington voters rejected an attempt to repeal the millionaires tax, and Florida voters passed a pathway to eliminate all non-school property taxes.
Why it matters
States face mounting budget pressure after historically deep health care and food assistance cuts in the 2025 reconciliation law and slowing revenue growth. Ballot outcomes will shape how states fund public services in the years ahead.
Florida's property tax measure could reduce state revenue by about $12 billion annually, while California's rejected Prop 40 targeted assets over $1 billion with a one-time 5 percent tax. Final vote margins and implementation schedules for the passed measures were not included in the source extraction.
The players
California voters
California voters approved extending higher income taxes on top earners and defeated Prop 40, a one-time tax targeting very large assets.
Colorado voters
Colorado voters were poised to approve a measure increasing taxes on wealthy households and corporations to address state budget needs.
The details
A small group of donors spent hundreds of millions of dollars on campaigns to preserve state tax codes tilted in their favor, contributing to the defeat of Prop 40 in California. Utah and Oklahoma voters rejected limits on raising state and local revenue, while Iowa and North Carolina passed measures restricting revenue-raising options.
Timeline
Earlier in 2026: Maine, Rhode Island, and Hawai'i passed millionaires taxes.
November 4, 2026: Colorado, Washington, California, and other states voted on ballot measures.
Political Context
The 2025 reconciliation law's historically deep health care and food assistance cuts are pushing states toward new revenue decisions at the ballot box. The ballot results split along the same lines, with some states raising taxes on the wealthy while others limit future revenue options.
Residents in states that raised taxes on high earners may see changes in their state income tax obligations, while Florida homeowners could see non-school property tax relief over time. States that restrict revenue options may rely more heavily on sales taxes and fees, which can weigh more on lower-income households.
The takeaway
Ballot measures on taxes are becoming a central lever for states balancing budgets under federal funding cuts. Watching how these measures take effect will show whether states fund services through wealth taxes or shift more costs onto everyday purchases and fees.
What happens next
States will confront balanced-budget pressure in the year ahead as federal cuts hit budgets and revenue growth slows.
Further reading
For broader context on how states set and collect revenue, see Taxes coverage on Wisevoter.
Source note: This article includes information reported by Center on Budget and Policy Priorities.
Live Poll
Should wealthy households and corporations pay higher state taxes to fund public services?
