8VC Managing Partner Joe Lonsdale joins “Fox & Friends” to discuss how the tax will affect America’s richest people and why the state is a “total mess.”
Californians with net worth over $1 billion could be taxed an additional 1.5% if the latest wealth tax payment from the Progressive Democrats is approved.
In addition, the proposal would force those who have recently moved out of California to pay a state wealth tax.
California Democrats factor in a wealth tax — including for people who have moved out of state
Managing Partner of 8VC Joe Lonsdale, formerly a California resident, joined “Fox & Friends” to share his thoughts on California’s “ridiculous” tax proposal.
“It’s basically un-American. You know, even the French have lost a bunch of millionaires and billionaires. You know, this is really a theater production going on in California. This is one of the most mismanaged states out there, right? The top 1% actually pay about half Taxes in their most progressive state,” Lonsdale, who recently moved to Texas, explained to co-host Steve Ducey.
California Governor Gavin Newsom (D) (Tom Williams/CQ-Roll Call, Inc via Getty Images/Getty Images)
“The state is a complete mess,” Lonsdale said Wednesday. “And what they’re doing here is they’re signaling something crazy, and they’re probably going to concede and tax billionaires some other way. But it’s really ridiculous.”
Business taxes only rise as the US economy gets more in the chopping waters
If passed, a wealth tax could take effect from January 2024. By 2026, the taxation threshold will drop, and those whose worldwide net worth exceeds $50 million will be charged an annual wealth tax of 1%. , while billionaires will still be subject to the 1.5% tax.
Fox News contributor Jonas Max Ferris and Quill Intelligence CEO Daniel DiMartino discuss mass migration from Democratic states to GOP states due to taxes, cost of living, and crime on “Cavuto Live.”
Lonsdale was asked by co-host Steve Ducey about his reasons for moving from California to the Lone Star State, where he explained that there were many things that went “culturally wrong” in California that led him to move out.
Click here for the FOX NEWS app
“It’s really hard to build there. It’s really expensive to hire people there. You’re basically either some form of billionaire or some form of service worker who drives two hours to, you know, work for them. It’s not a healthy place to be,” Lonsdale said.
Progressive Democrats in California want a wealth tax that would increase the burden on wealthy residents and those who have recently moved out of the state. (iStock/iStock)
California’s Silicon Valley, which is home to many huge tech companies like Google, Apple, and Facebook, has undergone a cultural shift as well. Lonsdale noted that the development of the technology has “spread across the country,” allowing other states such as Texas to get a cut of the US technology profits.
The list of companies that have left CA is growing as the blue state exodus trend continues
“Technology has spread all over our country. We can build things in defense, logistics and CV from many different states. And Texas is a much healthier place to set up your business than in California these days,” he continued.
Fox News host Sean Hannity says Democrats want to bring California’s failings to the rest of the country in his opening monologue on Tuesday.
“It’s something you might like [find] The best tech talent in Silicon Valley. You may even need their help to start something, but you certainly won’t be scaling it there. You certainly won’t build a great company that stays there. As soon as possible, with those people in charge, you’ll come out of somewhere less corrupt,” Lonsdale concluded.
Fox News’ Aaron Kligman contributed to this report.