Jensen Huang says he can pay $8 billion California wealth tax

Nvidia CEO Jensen Huang says he has no quarrel with California's proposed billionaire tax, even though it could cost him an estimated $8 billion. His stance cuts against much of Silicon Valley's wealthy class, which is spending heavily to defeat the measure.

Voters will decide Proposition 40 on November 3. The measure would apply a one-time charge equal to 5% of the wealth of California residents worth more than $1 billion. It targets total net worth, including investments and business stakes, not annual income. Payment could be spread across five yearly instalments.

Huang's estimated bill would run to about $8 billion over those five years. He called the ability to pay that a privilege. "I'm not afraid of paying taxes. I'm just afraid of being poor," he told CBS. He credited education, access to talented people and the freedom to start a company for making his career possible. "I am the ultimate American Dream," he said.

Many of his peers see it differently. Tech billionaires and other wealthy donors have put more than $340 million into campaigns against Proposition 40 and related ballot measures, and opponents have reportedly spent over $1 million a day. Google co-founder Sergey Brin is a major contributor, and former Google CEO Eric Schmidt has also opposed the tax. Brin, fellow Google co-founder Larry Page and former Uber CEO Travis Kalanick were among those who changed business or residential ties before the January cutoff.

So what is the fight about? Supporters say the money would go to state healthcare, public education and food assistance, and that billionaires can chip in without changing how they live. Critics warn the tax could push rich residents out of California and shrink the income-tax revenue the state would collect from them in future years.

Huang has long argued that California's talent pool outweighs its tax bill. Nvidia is based in Santa Clara, close to engineers, researchers and other Silicon Valley firms. "Move to California, don't leave," he told an audience at Stanford Graduate School of Business earlier, calling the state's taxes the highest in the world but saying that is "okay."

His openness has limits. Huang has questioned proposals to tax companies on robots or AI tokens, saying governments could find other ways for productive businesses and individuals to contribute. For voters, the takeaway is simple: one of the world's richest tech leaders says he will pay if the measure passes, while many of his peers are spending millions to make sure he never has to.

Source: Times of India

Related: Goa signs Rs 5,000-crore MoU with ANVI for LPG terminal at Mormugao port · Sebi chief Pandey sets out hurdles for Calcutta Stock Exchange revival