LOS ANGELES (AP) — A proposed billionaires’ tax in California has ignited a political uproar in Silicon Valley, with tech titans threatening to leave the state while Democratic Gov. Gavin Newsom maneuvers to defeat a levy that he fears will lead to an exodus of wealth.
A technology mecca, California has more billionaires than any other state — a few hundred, by some estimates. Nearly half its personal income tax revenue, a financial backbone in the nearly $350 billion budget, comes from the top 1% of earners.
A large health care union is attempting to place a proposal before voters in November that would impose a one-time 5% tax on the assets of billionaires — including stocks, art, businesses, collectibles and intellectual property — to backfill federal funding cuts to health services for lower-income people that were signed by President Donald Trump last year.
In a state with a vast gap between rich and poor, the plan has resulted in a tangle of competing interests at a time when both Democrats and Republicans are struggling to respond to economic anxiety driven by rising costs ahead of this year’s midterm elections.
They won’t leave, that’s where the talent is. Fuck you Newsom, back the bill.
It ought to be framed as “we want them to leave. The whole purpose of the tax is to get them to leave.” The state would be better off without them. They are net negatives. They use massive amounts of resources and give nothing back. Pile all of them on Texas and see how that goes.
Need to tax capital gains more than labor and tax loans that are backed by capital. Could easily be pitched to the public as as an incentive for people to work, instead of being lazy and collecting capital handouts.
They are doing everyone a favor if they leave anyway. They make everywhere they are worse off influencing politics. They are surrounded by yes men and think they are smarter than everyone else, and more capable, by virtue of having all of that money.
If Newsom doesn’t take a more progressive stance I won’t vote for him. I’m through voting for liberals that lie to your face then do the bidding of the billionaire class behind closed doors. That’s exactly why nobody trusts the Democrat party anymore. I’m a lifelong Dem voter, but enough is enough. Never again. If you’re pro-Israel or pro-billionaire, count me out.
there are still too many that do support the democrats and they’re an overwhelming majority.
He’s already lost my vote in the primaries. Not that I’m in a state that ever mattered.
But once it’s the general election I’ll still vote blue unless there is a viable alternative which would be awesome but unlikely.
I highly doubt the right is going to put forward anything less than a far right candidate. A centrist is better than a these racist anti science regressives.
It’s all the proof one should need to see that he’s on their side, not mine, not yours.
So “nearly half” of California’s income tax revenue comes from the top 1% of earners, and “a few hundred” billionaires would be subject to this one-time tax.
There are approximately 20 million workers in California, so the top 1% of earners is about 200,000 people.
Even with a high end estimate, roughly 195,500 of the top 1% of earners will not be subject to this one-time tax. This bill only targets the top 0.0025% of earners in California. One four-hundredth of the top one percent.
Top 1% is just under a million a year, sounds like a lot but that’s doable for top tier software engineer. Those people aren’t going anywhere unless the companies themselves move.
It’s still the easiest place to find and run a start up so most wouldn’t necessarily leave.
Dems will cave on this.
Newsom has more important priorities, like figuring out new and terrifying ways to criminalize and punish homelessness.
Disagree.
Protecting billionaires is his top priority.
Newsom is campaigning for the presidency, to the donors. Same as Hillary and Biden and Kamala. Maybe we need a candidate that plays to voters this time.
Pathetically the sheep consider Biden’s presidency a great success. What do you even say to that?
I fully expect the Dems to do the wrong thing in every instance where they’re faced with an obvious correct path forward.
I as well, while still knowing the democrats will still do worse than I expect, and yet they still do worse than that, even though I knew they would be worse still.
They are controlled opposition, in effect if not always knowingly. Organized interests make sure they don’t get any popular reformer in there, to protect their license, even as they hand absolute power to the right, that despite giving them what they want now, will turn on them and destroy them in not even that much time. Both the donors will be destroyed by the political monster they created on the right, and the democrats will be destroyed by it, thinking all of that voter fraud talk is performative.
Indictments for false vote rigging allegations fall of 2027 I bet, to dem leaders, unless they are sure they have it sewn up already, but I still think some fed prosecutor with ambition will pursue it. But sorry I digress a lot here.
Lesser evil btw
