Meta's regulatory filing says CEO Mark Zuckerberg threatened to move out of California if voters approve Proposition 40, a one-time 5% tax on billionaire wealth on the Nov. 3 ballot that would cost him about $12.4 billion of his estimated $247 billion net worth. To avoid selling voting shares to pay it, Meta's board approved a new class of nonvoting common stock, effective in January, that he can sell for the tax if voters approve. In return, Zuckerberg committed to remain a California resident for eight years and would move if Meta relocates its headquarters to another state. The Class C shares are also meant to fund AI infrastructure, employee compensation and acquisitions, and Stanford economists have questioned whether the tax could backfire as several billionaires have already left the state.
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META
• NeutralMeta Platforms
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $1.9T |
| Close on 10/21/2026 | 698.43 |
| Change that session | +0.60% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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