Google cofounders Sergey Brin and Larry Page appear to be reducing ties with California. The pair set up the now $4 trillion company in Menlo Park in 1998, but last month they terminated or relocated various interests. The moves may have been triggered by a proposed one-time tax of 5% on all assets for Californians worth $1 billion or more, The New York Times reported.
California is not alone in targeting the super wealthy — the European Parliament recently held a hearing on taxing “ultra-high-net-worth individuals” — but one billionaire warned in the Financial Times it could backfire: The state is immensely reliant on the top 1% of taxpayers for revenue, and if many billionaires leave, public services will be hit.