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California · Financial Times ·

California’s billionaires just poured $40 million into blocking a wealth tax that threatens to force them to pay 5% of their

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Marco Quiroz-Gutierrez.

California’s billionaires are going on the defensive, putting millions of dollars behind an effort to defeat a one-time billionaire tax that would collect 5% of their net worth if approved.

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Summary

A pair of billionaires, along with other wealthy individuals, have recently upped their contributions to Building a Better California, a PAC formed earlier this year to oppose Proposition 40, which would impose a one-time 5% tax on California residents with more than $1 billion in assets to increase health care funding in the state. Venture capitalist John Doerr put in $7.5 million to the group, while the executive chair of blockchain company Ripple, Chris Larsen, contributed an extra $10 million to the group, according to a campaign finance filing from Aug. 14, the Financial Times reported. Some multimillionaires also contributed, including the cofounder of cybersecurity company Lookout, John Hering, and Greenoaks Capital founder Neil Mehta, who contributed $946,000 and $250,000, respectively.

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