https://x.com/byersblake/status/2050284901946266052
How the 5% California wealth tax is a 67% wealth tax for Sergey Brin:
>Owns 3% of GOOG.
>Holds 25.3% of voting rights
>Wealth tax is assessed as the greater of his ownership or voting rights. So his tax is 5% * his 25.3% voting ownership = 1.27% of the value of GOOG.
>1.27% taxes / 3% ownership looks like a 42.2% wealth tax, but that's not quite right.
>He has to pay the wealth tax with after-tax cash proceeds. So he needs to sell enough stock to cover 37.1% in taxes first (23.8% federal and 13.3% state).
>His gross stock sale has to be 2.01% of GOOG to cover the wealth tax + federal and state taxes.
>His wealth tax bill is thus 67% of his net worth (2.01%/3%)
>This for 2026. There are proposals being drafted for a 2028 wealth tax.
(I understand that some people see this as a feature)May 1, 2026 View on X →
Friday, May 1, 2026