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Millionaire scraps move to California due to proposed wealth tax
New York Post • • nation
Key Points:
- Emil Barr, a 23-year-old millionaire entrepreneur and founder of Flashpass, has canceled his plans to move to San Francisco due to California’s proposed wealth tax, Proposition 40, fearing it could expand to affect millionaires like himself.
- Proposition 40 would impose a one-time 5% tax on billionaires' total accumulated wealth as of January 1, 2026, with most funds aimed at supporting state healthcare, but critics argue it could drive entrepreneurs away.
- Barr expressed concern that the political climate in California is increasingly hostile toward successful entrepreneurs, which influenced his decision more than the tax costs themselves.
- Flashpass, which helps laid-off workers retrain and find jobs, initially saw California as a strategic location due to its AI industry, but Barr’s withdrawal could limit the company’s ability to serve California residents.
- Barr warns that if more young entrepreneurs avoid or leave California, it could have broader negative effects on the state’s innovation ecosystem and job opportunities.
