San Francisco Gears Up for Serious ‘March for Billionaires’ Amid Wealth Tax Debate
In San Francisco, a local entrepreneur is spearheading a “March for Billionaires” this Saturday, rallying against a proposed one-time wealth tax targeting the state's ultra-wealthy.
The event, scheduled to commence at the Civic Center, has already drawn a modest crowd, yet its organizer finds himself repeatedly clarifying that this is no joke.
“Yes, it’s real,” insisted Derik Kauffman, the march's organizer, during an interview on Friday.
Initial reactions on social media hinted at skepticism, with some suggesting the march might be a satirical stunt or even secretly funded by a billionaire.
Kauffman, identified by local media as the driving force behind the event, firmly stated he has no financial backing from billionaires. He is not a billionaire himself but believes the wealth tax poses a significant threat to California's tech economy and overall prosperity, potentially forcing entrepreneurs to liquidate shares in their companies.
“The goal is to shift perceptions and acknowledge the contributions of billionaires while expressing our appreciation for their presence,” he explained.
As the main activities of the march began around lunchtime, reports indicated that the crowd was small, with some social media users claiming they were outnumbered by journalists and counter-protesters.
The proposed tax, which is part of a state ballot initiative supported by SEIU–United Healthcare Workers West, would impose a one-time levy of five percent on the net worth of billionaires residing in California as of January 1.
Funds generated from this tax are intended to enhance public healthcare services, especially in light of cuts to Medicaid and the Affordable Care Act during the previous administration.
According to the state legislative analyst’s office, this tax could potentially generate tens of billions of dollars. However, they cautioned about uncertainties regarding its impact due to stock market volatility and the risk of billionaires relocating out of state.
“This could lead to reduced funding for essential services like education and healthcare,” the office noted. “While there would be revenue from the wealth tax for certain areas, such as healthcare, that funding would be temporary.”
California Governor Gavin Newsom has voiced his opposition to the proposal, a sentiment echoed by many within the tech sector.
“This will be defeated — there’s no question in my mind,” Newsom stated emphatically. “I’ll do what I have to do to protect the state.”
The tax must still pass through the ballot process and gain voter approval. Meanwhile, some billionaires, including Google founders Larry Page and Sergey Brin, have reportedly begun severing financial connections with California.
Research indicates that the ultra-wealthy are not likely to relocate en masse due to new taxes.
“These individuals are deeply rooted in their communities and have extensive ties to their professional environments. The costs of uprooting are significant,” said Cristobal Young, a sociologist at Cornell University and author of The Myth of Millionaire Tax Flight: How Place Still Matters for the Rich. “While it’s easy to claim, ‘I’m moving to Texas,’ many find it challenging when faced with the reality of such a move.”
