California's 'billionaire tax' slumps in the polls before Tuesday's vote, with seven billionaires having ALREADY cut ties with the state
California's proposed wealth tax would target unrealised capital gains and large fortunes directly, with analysts warning a "yes" vote could accelerate the exodus of high-net-worth residents.Mark Zuckerberg and his wife as Proposition 40, a one-off 5 percent levy on Californians worth more than $1.1 billion, faces a Tuesday vote with polls showing limited support.
Over 100 economists — among them four Nobel laureates and former senior White House advisers from both parties — have signed an open letter calling on California voters to defeat Proposition 40, arguing the retroactive wealth tax is both unconstitutional and impossible to administer. A McLaughlin & Associates poll puts opposition at 52.6% of voters, with just 34.5% in favour ahead of Tuesday's ballot.
At least seven billionaires commanding roughly $540 billion — around 30% of California's total billionaire wealth — have departed the state, according to a Stanford study.
Car loan magnate Don Hankey says he relocated to Las Vegas last December, warning California has 'sacrificed years of income tax revenue' by pushing wealthy residents out.
Google co-founder Sergey Brin has put more than $100 million into opposing the tax, which analysts say could cost him $13.3 billion personally.
