Legendary director and progressive filmmaker Steven Spielberg has moved from California to Manhattan. Newsmax reports that this move comes as some of California's wealthiest residents are considering leaving the state ahead of a controversial proposed wealth tax on billionaires that voters are set to review.

The "Billionaire Tax Act of 2026," initiated by the Service Employees International Union-United Healthcare Workers West (SEIU-UHW), proposes a one-time tax of 5% on the assets of California residents worth over $1 billion.

Proponents claim that this could generate approximately $100 billion in revenue for the state government.

Steven Spielberg's spokesperson, Terry Press, stated that the move is unrelated to tax issues, asserting—as reported by the New York Post on Friday the 20th—that it was "long-planned and is based on a pure desire for Spielberg and his wife, Kate Capshaw, to be closer to their children and grandchildren who live in New York."

According to the proposed California legislation, at least 90% of the funds would be used for public healthcare services, with the remainder allocated to wealth tax collection, education, and food assistance.

A similar bill that would have imposed a 1.5% tax on billionaires was defeated in the state legislature last year, largely because Democratic Governor Gavin Newsom opposed the measure at the time.

If this new proposal gathers enough signatures to reach the state ballot in November and is approved, it would be applied retroactively to everyone who was a resident of California as of January 1, 2026.

Billionaires would be granted a five-year grace period to pay this one-time tax. The only way to avoid the levy would be to leave California before December 31, 2025.

Newsmax reported that this controversy arises amid news that several tech industry leaders are considering relocating outside of California, with Google co-founders Sergey Brin and Larry Page reportedly looking at residences in Miami, and Meta founder Mark Zuckerberg exploring options in Florida.

However, none of these individuals have publicly stated that they decided to move because of this ballot measure.

Sergey Brin has provided funding for an organized campaign opposing the proposed wealth tax.

Venture capitalists Peter Thiel and David Sacks have also been mentioned as prominent wealthy residents leaving the state, though neither has publicly cited the proposed tax as their reason.

Supporters of the bill argue that it could raise tens of billions of dollars to address the state government's healthcare funding shortages.

Opponents, including Governor Newsom, argue that the bill could drive wealthy residents out of California and erode the state's tax base.

Senator Bernie Sanders (I-VT) has campaigned in support of the proposal and held a rally in Los Angeles on Wednesday.

Sanders told the crowd, "Right here in California, these billionaires are going to realize that we still live in a democratic society where the power lies with the people."

Sanders also broadly condemned the behavior of the ultra-wealthy, stating, "Never in American history have we seen such profound greed, arrogance, and moral depravity."

Meanwhile, California Republicans have warned that if high earners leave and state revenues decline, this tax could lead to even broader taxation.

U.S. Representative Kevin Kiley (R-CA), who introduced a bill in Congress to ban retroactive taxation, noted, "They tell you it's just for the billionaires. Of course, it all starts with the billionaires, and they keep lowering the threshold to pull more and more people in."

U.S. NNP = Representative Journalist Sung Ku Hong / Special Correspondent for NNP info@newsandpost.com