By Tanya Rawat ,
35 minutes ago Image via Shutterstock California entrepreneur Eric Schiffer warned that California’s proposed billionaire wealth tax could drive business leaders out of the state if voters approve the measure.
Schiffer, chairman of family office Patriarch and CEO of Reputation Management Consultants, said he works with several billionaire clients, including some in California, who are unhappy about the proposal, Fox Business reported Friday.
Business Exit Warning "I think the impact of this passing in California is a giant sucking sound of all of these entrepreneurs being sucked out of California because they’re just not going to want to stay," Schiffer said.
Proposition 40 would impose a one-time tax equal to 5% of net worth on billionaires who were California residents on Jan. 1, 2026. The tax would be due in 2027, with payments allowed over five years at an additional cost. Real estate, pensions and retirement accounts generally would be excluded.
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Tax Revenue Impact The proposal comes as some wealthy Californians consider how they would respond i...