Meta strikes deal to keep Zuckerberg in California after wealth tax concerns

Meta Platforms has reached a deal with CEO Mark Zuckerberg to ensure he remains a resident of California for eight years, despite concerns over a potential wealth tax. Zuckerberg revealed he was contemplating relocating his primary residence outside the state if the proposed Proposition 40, a one-time 5% tax on billionaires, were to pass.

As the world's sixth richest person according to Forbes, Zuckerberg explained that the tax liability could force him to sell voting shares to pay the multi-billion dollar bill. Under the agreement, Zuckerberg will receive non-voting shares that can be sold to cover the tax obligation. However, Proposition 40, which aims to tax California's billionaires, remains uncertain to pass according to political analysts.

Despite its potential, the state is home to as many as 250 billionaires, collectively worth upwards of $2 trillion.