Elon Musk dismisses Bernie Sanders's 5% wealth tax, says 99% of his trillion-dollar fortune is in stock — not cash

Senator Bernie Sanders has proposed a wealth tax on the ultra-rich, advocating for a 5% levy on fortunes exceeding $100 million. The intention behind such a tax is to generate government revenue and address wealth inequality. This proposal has drawn criticism from various sectors, including some of the wealthiest individuals in the United States.

Elon Musk, a prominent figure in the technology and business world, is among those who have publicly voiced opposition to a wealth tax. His specific argument highlights that a significant portion of his net worth is tied up in company stock, rather than readily available cash. This distinction is crucial as taxing unrealized gains on stock presents different economic and logistical challenges compared to taxing liquid assets. The debate over wealth taxation involves complex economic considerations and differing views on fairness and the role of government in redistributing wealth.