This is laughable. California is a billionaire maker!
Even with their effort, California’s "exit tax" logic often tries to claim a piece of your wealth for years after you leave, based on how much of it you built while you were here. So, while they might think they "escaped" by moving last month, they’re likely in for a decade of expensive legal battles with California tax auditors who aren't just going to take their word for it that they’re suddenly "Texans." And all this for 5% for the poor and needy? Shameful!
Let us reason people or at the very least get on the right side of the situation like many billionaires who didn't leave.
The 1 Trillion dollar number is based on the total net worth of a handful of people who moved their primary residency, not a $1 trillion hole in California's current budget. The reality is that California remains home to about 215 to 240 billionaires, the highest count in the nation, and the vast majority of them are staying put. For every headline about a Larry Page moving to Florida, there are hundreds of other billionaires like Mark Zuckerberg, Jensen Huang, and the founders of various AI giants who are still deeply rooted in the state. Even if the wealth tax were to pass, these individuals are seeing their portfolios grow by an average of 7.5% per year, meaning they would still end up richer even after paying a 5% tax. The idea that the state is "collapsing" because of a few high-profile moves is a massive stretch if not a flat out lie. California’s unique tech and venture capital ecosystem continues to mint new billionaires faster than the state can even keep track of them. I commend those billionaires who have decided to stay and pay the tax purely for its purpose, to help those in need.