The higher income-tax rates on the highest-earning ~2% of Californians, first approved in 2012, stay in place permanently instead of expiring in 2031.
Proposition 3 · California · Nov 3, 2026
Continuing existing higher-income tax rates
Official title: Provides Permanent Funding for Schools and Health Care by Extending Existing Tax on High Incomes. Initiative Constitutional Amendment.
Makes an existing temporary income-tax increase permanent. Without the measure, the increase expires in 2031.
At a glance
Tax extension- Does it raise taxes?
- Keeps existing higher income-tax rates on the top ~2% of earners permanently. They would otherwise expire in 2031. Not a new tax.
- Estimated cost or revenue
- $5–15 billion a year, varying with the stock market.
- Who pays
- The highest-earning ~2% of Californians.
- Where the money goes
- About 40% goes to K–12 schools and community colleges; the rest supports the state budget, including health care.
- How long
- Permanent unless voters end it later.
Worth knowing: Revenue varies with high-income earnings and economic conditions.
From the official voter guide and the state’s fiscal analysis. Estimates are the state’s, not ours.
Your choice
Saved privately on this device.What your vote does
Those higher rates expire as scheduled in 2031.
The summary describes continuing current rates, rather than increasing today’s rates.
Who it affects
Higher-income taxpayers and services supported by state revenue.
How the money works
TypeTax extension
Rate or thresholdDetailed brackets and filing-status thresholds not yet reviewed here.
Cost, who pays and where the money goes are in “At a glance” above.
What your guides say
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Why they disagree
Prevents billions in future cuts to education and health care, with strict rules on how the money can be used.
Official ballot argument for (summary)The rates were meant to be temporary. The state should cut waste and overspending instead.
Official ballot argument against (summary)Who’s funding it
We haven’t loaded campaign-finance filings for Proposition 3 yet. You can look them up directly:
Sources
- California Secretary of State
Proposition 3: Official Voter Information Guide · Official title, summary, vote effects and fiscal impact
Checked Oct 31, 2026 - Easy Voter Guide (League of Women Voters of California Education Fund)
Easy Voter Guide, November 3, 2026 · State propositions
Checked Nov 1, 2026