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Cuban: Idiots Stay If Billionaire Tax Passes
16 Aug
Summary
- Mark Cuban warns a proposed billionaire tax could drive startups and investment from California.
- IRS data shows thousands of taxpayers and billions of dollars leaving California annually.
- California's proposed wealth tax targets billionaires with over $1 billion net worth.
California faces increasing scrutiny over its tax policies as thousands of taxpayers and billions in income depart the state, according to IRS data. This exodus fuels the debate surrounding a proposed 5% wealth tax on billionaires, a measure that has qualified for the November ballot.
Billionaire investor Mark Cuban has strongly criticized the proposed tax. He contends that its passage would not only encourage wealthy residents to leave but also deter investment and startups from operating in California.
Los Angeles County alone saw a net loss of 17,496 tax filers, taking nearly $1.9 billion in income with them. Other populous counties like Orange, San Diego, Riverside, and San Bernardino also experienced substantial net outflows of tax filers.
The ballot initiative, backed by the Service Employees International Union, aims to impose a one-time 5% wealth tax on Californians with a net worth exceeding $1 billion, effective January 1, 2026. Supporters believe it will generate billions for healthcare and education, while critics foresee significant economic repercussions.
