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Mark Zuckerberg Agrees to Stay in California Despite Billionaires’ Tax Ballot Measure

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Mark Zuckerberg Agrees to Stay in California Despite Billionaires’ Tax Ballot Measure

Meta CEO Mark Zuckerberg has agreed to keep living in Silicon Valley for eight years, potentially exposing himself to billions of dollars in one-time taxes if California voters approve a contentious ballot measure next month, according to a company regulatory filing released Wednesday.

During a dinner with Meta board members on September 9, Zuckerberg informed them that he was considering leaving California because of the measure, known as Proposition 40, and that he planned to list his Palo Alto, California home for sale four days later, the 109-page filing stated. The ballot proposal, which could be subject to lawsuits even if voters approve it, calls for a one-time 5 percent tax on stock and other assets held by billionaires in the state as of January 2026.

Many wealthy individuals, including Zuckerberg, currently avoid significant tax payments by borrowing against their shares and taking low salaries—$1 annually in the Meta CEO’s case. Zuckerberg purchased a home in Florida this past February, the Wall Street Journal reported at the time.

His potential cross-country move concerned a special committee of the board, whose members included attorney Robert Kimmitt, venture capitalist Charlie Songhurst, and DoorDash CEO Tony Xu. “The special committee was mindful about the difficulties the company faced during the COVID-19 pandemic when Zuckerberg could not be physically present with the company’s management team and did not want the company to face similar challenges going forward,” according to Wednesday’s filing.

Within days of the Meta board dinner, the special committee and Zuckerberg reached an agreement that links his ability to sell special company shares to his continued residence in California.


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