Proposition 15 requires most commercial land and buildings to be taxed based on how much they could be sold for instead of their original purchase price. This change does not affect housing and agricultural land. This change is put in place over time starting in 2022. However, the change does not start before 2025 for properties used by California businesses that meet certain rules and have 50 or fewer employees. The change would not affect owners who have $3 million or less worth of commercial land and buildings in the state. Finally, the measure reduces the taxable value of equipment used by a business by $500,000, beginning in 2024.
- Berkeley IGS Poll, September 23, 2020
- Survey USA, September 29, 2020
- Public Policy Institute of California Statewide Survey, September 16, 2020
- Public Policy Institute of California Statewide Survey, October 22, 2020
- Berkeley IGS Poll, October 26, 2020
- Berkeley IGS Poll, November 20, 2020
- California Choices
- KCET Ballot Brief
- League of Women Voters
- Legislative Analyst's Office
- Project For an Informed Electorate
- Voter's Edge
Supporters of Proposition 15 say that taxing property owners on their land at the current market value is more equitable, as homeowners and most small businesses are currently taxed at that rate. They claim that the measure will provide $11 billion to fund schools and community services without further taxing homeowners, renters, and small businesses.
Opponents claim that Proposition 15 is an attack on taxpayer protections by a special interest. They say that high property taxes will add to a toxic business climate. They believe the measure will severely impact California's economy by discouraging businesses from opening in the state.