California Approves ‘Largest Tax Hike in History’ — Here’s Where You’ll Pay More
9th July 2026
Californians will have to pay for two new taxes next year after Gov. Gavin Newsom approved the state budget in June in what the California Taxpayers Association described as “the largest tax increase in state history.”
Newsom and Democratic lawmakers agreed on proposals that would raise health insurance premiums and slap a new charge on software downloads in an effort to make up federal revenue loss from an antagonistic Trump administration, Democrats said.
Because, as we all know, California has an inalienable right to get money from the Federal government—and the Federal taxpayers.
One measure would extend a tax on health care providers to potentially generate roughly $2 billion a year to help fund Medi-Cal.
How can we pay for better health care? I know—we’ll raise taxes on health care providers! What could possibly go wrong? Well, health care providers will (a) raise their prices and (b) join the billionaires fleeing the state. That estimated $2 billion a year, as will all government estimates of future tax revenue, assumes that people will just stand there waiting to be fleeced and take no action to avoid and mitigate the tax. As with all government estimates of future tax revenue, it will turn out to have been grossly inflated.