Meta creates new stock class to help Zuckerberg pay California wealth tax

Meta's board approved a deal with Mark Zuckerberg in October 2024 to protect his control of the company. California has proposed a one-time five percent tax on residents worth more than one billion dollars. For Zuckerberg, whose net worth is around $247 billion, this could mean a tax bill of nearly $12.5 billion. To raise money without losing his voting power, he will be able to sell a new type of share that carries no voting rights. He currently controls about 61 percent of Meta's votes. Zuckerberg had considered leaving California to avoid the tax, but he agreed to stay for eight years. Other billionaires, including Google's co-founders, have already cut their ties to the state.