Silicon Valley Millionaire Advocates for Fair Tax System and Wealth Tax

A Silicon Valley Millionaire’s Perspective on California’s Proposed Billionaire Wealth Tax

Scott Ellis, a 55-year-old millionaire residing in Silicon Valley, shares his insights on California’s proposed 5% billionaire wealth tax. As a member of Patriotic Millionaires, a group of high-net-worth Americans advocating for a fair tax system, a livable wage, and equal political power access, Ellis presents a unique perspective.

The Journey to Silicon Valley

Originally from Colorado, Ellis moved to California for business school at Stanford University, drawn by the possibility of golfing in winter. What keeps him here, however, is the vibrant job market, lifestyle, and familial ties, not the tax structure.

View on Taxes

According to Ellis, taxes are an essential part of a civil society. They fund the government, which, when run effectively and efficiently, can create powerful societal change. He believes that his tax contribution, higher than most due to his wealth, is a fair contribution.

Financial Success and Career Choices

The financial success Ellis and his wife enjoy today stems from their early career success. After studying at Harvard and working at prestigious companies like McKinsey and Hewlett-Packard, Ellis chose to step back from his career, allowing his wife to pursue hers while he took on the role of a stay-at-home parent.

Passion for Social Issues

Ellis’s interest in social matters, sparked during his college years, led him to work with numerous nonprofits in the education sector. Through these experiences, Ellis developed a deep concern for wealth inequality and its impact on society, leading him to join Patriotic Millionaires and advocate for wealth distribution and higher taxes on the wealthy.

Observations on Wealth Accumulation

Living in Silicon Valley, Ellis has observed the massive wealth accumulation resulting from the growth of the consumer internet space, globalization, and the finance industry’s structure. However, he notes a lack of collective interest among the wealthy to use their resources to build a better society.

Proposed Billionaire Wealth Tax in California

Ellis argues for a broader conversation about wealth, its accumulation, and its definition of financial success. He proposes an aggressive 50% annual tax on household wealth exceeding $30 million, arguing that such wealth leads to excessive power that undermines democracy and capitalism.

California’s Wealth Tax: A Step in the Right Direction

While Ellis supports California’s move towards taxing wealth, he believes these changes need to happen at the federal level. He dismisses concerns about wealthy individuals leaving California due to increased taxes, citing the state’s appealing lifestyle and talent pool as compelling reasons for them to stay.