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Sergey Brin, the billionaire Google co-founder and former California resident, compared the proposed one-time 5% tax on the wealth of California residents to Soviet-style socialism. He spent $57 million to fight it because he fears it will lead the state down a similar socialist path as that of the former Soviet Union, which his family fled when he was 6 years old. Brin, who has moved from a backer of liberal causes to a supporter of Republican President Donald Trump, told the New York Times in a rare statement, quote, "I fled socialism with my family in 1979 and know the devastating oppressive society it created in the
Soviet Union. I don't want California to end up in the same place." The proposed tax would apply to California residents with assets worth at least $1.1 billion and has pushed a number of bold-faced billionaires, including Brin, to leave the state. Supporters say the tax is needed to compensate for federal healthcare funding cuts. About 90% of the tax would be used for public health services. However, opponents, including Democratic California Governor Gavin Newsom, say driving billionaires out of the state will do more harm than good for California's economy and budget. The union leading the effort on Tuesday said
it had collected nearly 1.6 million signatures of support, twice as many as the 875,000 it needs to get the measure on the November ballot and has submitted them to election officials for verification. Brin has terminated or moved 15 California limited liability companies out of the state, according to the Times, and has snapped up property in Florida and Nevada. Google co-founder Larry Page moved or axed more than 45 California limited liability companies last year, according to the New York Times, and purchased a mansion in Miami.
Other California billionaires have also been openly critical of the proposed tax but have not announced plans to leave. Mercor co-founder Brendan Foody called parts of the proposal, quote, "insane." But when asked if he'll move out of the state, said, quote, "I need to stay because all of our employees in the US are in person in SF. Most of our customers are here, too." For more on this story, check out the article at the link in the description.
