<[link removed]>

Patriot,

The California Billionaire Wealth Tax ballot initiative would impose a
one-time 5 percent tax on the wealth of California’s billionaires.

However, it gets worse.

The poorly drafted initiative creates many scenarios in which tax liability
would be vastly more than 5 percent of net worth. For example, the law allows
for valuation based on voting interests in a company when they exceed actual
economic stakes.

Take Tony Xu, the founder of DoorDash, for example.

He owns 2.6 percent of DoorDash but controls 57.6 percent of the company’s
voting shares, which would yield a wealth tax liability of $2.62 billion on an
ownership interest worth $2.41 billion under this plan. Since selling his
shares incurs capital gains tax, his total tax liability for his DoorDash
shares would be $4.17 billion, 173 percent of their value.

The wealth tax would bankrupt Tony Xu.

We need tax policies driven by experts, not demagogues.

I am personally inviting you to help us simplify the tax code and make sure it
doesn’t stand in the way of your success.
<[link removed]>

Tax Foundation’s experts meet regularly with lawmakers across the country.
We’re not just educating the public. We’re meeting with legislators to help
them understand tax policy beyond campaign talking points.

Patriot, this isn’t the first time a bad tax has been proposed. It won’t be
the last time either.

Can you make a (tax-deductible) donation of $10, $50, $250, or even $500 and
support Tax Foundation? Click here to join today.
<[link removed]>

We’re looking for 50 new donors to join us and help simplify the tax code.

Since 1937, our principled research, insightful analysis, and engaged experts
have informed smarter tax policy in the US.

* Our tax model simulates the effects of government tax and spending policies
on the economy. No other model is as robust as our TAG Model for informing
legislators, business owners, and voters about the effects of tax policy.

* Every day, our team of trusted experts continuously analyzes the day’s most
relevant tax policy topics. Our experts meet with lawmakers and the media
frequently to help them understand tax policy.

* In the media, we owned 30 percent of total citations on tax policy in 2025,
reaching 68,624 citations!
Tax Foundation sounded the alarm on wealth taxes years ago. Now, voters are
facing an important decision in California. It’s one that may have dire
consequences for the state’s economy.

California often leads on these harmful ideas, but they can easily and quickly
spread to the rest of the country. Tax Foundation is doing the critical work of
educating both voters and legislators on the consequences of California’s
wealth tax before this idea goes national.

If you believe we need tax policy determined by research, not partisan
rhetoric, then I am counting on your support to fuel our mission.

Please become one of our new supporters today by donating $10 or more to the
Tax Foundation.
<[link removed]>

Thank you,


Daniel Bunn
President and CEO
Tax Foundation





Tax Foundation is a 501(c)(3) nonprofit educational organization. Any
donations made to Tax Foundation are tax-deductible to the full extent
allowable by law.
Unsubscribe
<[link removed]>
|Mark as Junk
<[link removed]>