Key facts
- Google co-founder Sergey Brin has donated an additional $20 million to Build a Better California.
- Brin has now spent over $100 million to oppose California's proposed billionaire tax.
- The proposed tax, Proposition 40, would levy a 5% tax on the net worth of approximately 200 billionaires in California.
- The revenue from the tax is intended to fund California's healthcare programs.
- Governor Gavin Newsom has voiced concerns about the potential economic impact of the tax on the state.
Google co-founder Sergey Brin has significantly increased his financial opposition to California's proposed "billionaire tax," known as Proposition 40. According to a new filing, Brin has donated an additional $20 million to Build a Better California, an organization actively campaigning against the measure. This latest contribution brings his total expenditure to over $100 million, aimed at avoiding an estimated $13.3 billion tax payment.
Proposition 40 seeks to implement a one-time 5% tax on the net worth of approximately 200 billionaires residing in the state. The projected revenue from this tax is earmarked for funding California's healthcare programs, which could face a significant shortfall due to anticipated federal budget cuts to Medicaid.
Brin is not alone among tech leaders in seeking to mitigate potential tax burdens. Reports indicate that Meta founder Mark Zuckerberg recently purchased a $170 million mansion near Miami, and other prominent figures like former Uber CEO Travis Kalanick, venture capitalist Peter Thiel, and Google co-founder Larry Page have relocated from California. Governor Gavin Newsom has expressed reservations about the potential economic repercussions of such high-net-worth individuals and their businesses leaving the state, advocating instead for a national approach to taxing billionaires. Newsom has criticized tax loopholes that allow the ultra-wealthy to avoid paying taxes on their income.
Californians are scheduled to vote on Proposition 40 in November. The organization Brin is funding is also backing alternative ballot measures that could potentially nullify Proposition 40 if passed. In contrast, Nvidia co-founder Jensen Huang has stated he is amenable to paying the tax, estimating his liability at around $8 billion and expressing contentment with living in Silicon Valley and adhering to its tax regulations.