Progressive Democratic U.S. Representative Ro Khanna has voiced sharp criticism against opponents of California's proposed wealth tax, following Meta's disclosure of a deal detailing how co-founder and CEO Mark Zuckerberg intends to handle the potential financial impact of the levy. Khanna, whose congressional district includes part of Silicon Valley, weighed in amid the debate over how California taxes its largest technology fortunes.

Under the arrangement, Zuckerberg plans to fund any wealth tax payment by selling nonvoting shares in Meta while retaining his voting control of the company. That split is possible because Meta has long used a dual-class share structure — common among founder-led technology companies — that allows founders to sell equity without surrendering decision-making power. The deal also includes a commitment for Zuckerberg to remain in California — or wherever Meta is headquartered — for the next eight years. Meta maintains its headquarters in Menlo Park, California.

Khanna argued that these details weaken claims made by wealth tax opponents that the measure would drive billionaires out of the state. The disclosure of Zuckerberg's arrangement may indicate increased support for the initiative, though the outcome remains speculative. The stakes extend beyond one executive: California is home to a large share of the nation's technology billionaires, the group at the center of the dispute over whether the tax would push them out of the state.

Despite the development, the fate of Proposition 40, the wealth tax initiative, remains uncertain as the November 3 election approaches, when California voters will decide the measure by statewide ballot. Prediction markets currently price the odds of the wealth tax passing at 22.5% YES, a slight uptick from 22% a day earlier. Prediction markets let traders buy and sell contracts tied to real-world outcomes, with prices serving as continuously updated probability estimates — meaning the current figure reflects expectations as of now, not a settled verdict.

Attention now turns to polling data and endorsements, which will be closely monitored as potential indicators of Proposition 40's chances. Key figures, including California Secretary of State Shirley Weber, whose office oversees the administration of elections and ballot initiatives in the state, and Governor Gavin Newsom, could influence the outcome through their actions or statements. Any significant shifts in polling, stakeholder endorsements, or public statements from other high-profile billionaires could further affect market sentiment. As the November 3 election date nears, upcoming developments may provide clearer indications of the proposition's likelihood of passing.