Meta restructures stock to help Zuckerberg pay California wealth tax

Meta Platforms agreed in October 2024 to change how its shares work, after CEO Mark Zuckerberg threatened to leave California. California is planning a tax that would take five percent of billionaires' wealth each year. Zuckerberg, who is worth around $246 billion, wanted to avoid paying it.

He began talks with Meta's board in July 2024. In September, he told board members he would put his home up for sale if they did not reach a deal quickly. The board agreed to let him sell shares without losing his voting control over the company. In return, he must stay in California, or wherever Meta's headquarters is, for eight years. The SEC made details of the negotiations public on Wednesday.