Update November 8: the ballotis accomplished, with 3,519,252 votes. 57.9% voted in prefer; 42.1% voted against. Therefore, if Elon Musk keeps his phrase (he said he would abide by the results of the ballot) he’ll be selling a well-known amount of Tesla stock.
SpaceX and Tesla CEO Elon Musk factual launched a Twitter ballotthat is literally value over $25 billion.
Musk, who doesn’t exhaust a well-known salary and whose wealth is therefore protected against taxation as his companies’ valuations develop, is asking his Twitter followers if he have to sell Tesla stock in inform to pay tax.
Here’s no sluggish tweet: Musk says he’ll abide by the results of the ballot … whichever plan it goes.
Tesla’s market capitalization, according to Yahoo Finance, is in the intervening time $1.22 trillion. Elon Musk owns 193.3 million Tesla shares, representing 20.7% of total shares excellent, according to Investopedia.
Meaning Elon Musk owns factual over $250 billion of Tesla stock. And 10% of that is, obviously, $25 billion plus.
Give or exhaust a billion dollars or in inform the stock markets fluctuate.
I’m no longer particular there’s any precedent for this draw of inch by the richest human being in the realm. A $25 billion sale, which Musk would seemingly manage over time to steer positive of crashing the stock, would be globally well-known. It would additionally outcome in a big tax invoice for Musk: as a minimal in the 20% differ for capital positive aspects, although Musk has no longer too long ago said on that exercising his soon-to-expire alternate ideas would be taxed at a a lot elevated 54% rate. Regardless of the number, selling Tesla stock would provide billions in tax receipts for the U.S. authorities.
That would possibly per chance presumably per chance no longer slightly pay for the fresh Biden infrastructure belief … on the other hand it would undoubtedly support.
In elephantine disclosure, I answered the ballotin the affirmative, and responded to Musk that he have to in fact sell Tesla stock:
This ballotfollows well-known online discussion in regards to the ways well off folks spend to steer positive of tax. Bloomberg no longer too long ago revealed a serious memoir about how billionaires luxuriate in Nike founder Phil Knight steer positive of tax, benefit money in the family, and basically don’t piece in the burdens and costs of working a nation that equipped them the eduction, economy, incentives, and different to develop into mega-rich magnates.
Knight’s $60 billion earn value, on the other hand, pales beside Musk’s $300 billion fortune, bigger than any in history, Forbes has said, and higher than the annual GDP of nations luxuriate in Finland, Chile, and Vietnam, according to CBS.
As of late, a CNN memoir quoted a UN director announcing that 2% of Musk’s wealth would possibly per chance presumably per chance support solve world starvation; Musk responded by soliciting for an intensive belief, with originate offer accounting.
As things stand at 1PM PST on November 6, over half of 1,000,000 votes have been solid.
A tiny majority is in the intervening time in prefer of the belief: 55.6%.
44.4% of respondents, on the other hand, clearly feel that Musk’s wealth is most efficient off in Musk’s arms, seemingly feeling that he has proven to be someone who invests in the long flee in resolution to merely spending extravagantly on homes, cars, yachts, and the other standard purchases of the rich and infamous.
The ballothas 23 hours left to flee, and would possibly per chance presumably per chance pause up being the most voted-upon ballotin Twitter history.