Meta Makes Deal to Help Zuckerberg Pay Possible Wealth Tax

Meta, the company behind Facebook, Instagram and WhatsApp, has struck a deal with its chief executive, Mark Zuckerberg.

The deal is meant to help him pay a possible California wealth tax on billionaires.

California could introduce a one-off 5% wealth tax that would target people with extremely high personal fortunes.

Meta revealed the arrangement on Wednesday night.

Under the deal, the company will help Zuckerberg cover the cost if the wealth tax becomes law.

In return, Zuckerberg has agreed to remain based in California for eight years.

This condition applies even if the state does bring in the one-off tax.

Wealth taxes like this one are controversial. Supporters say they make very rich people pay a fairer share.

Critics argue they can push wealthy individuals and companies to move elsewhere.

By tying Zuckerberg's tax support to a promise to stay, Meta appears to be trying to prevent that kind of move.

The agreement shows how a possible new tax law can shape decisions made by major companies.

It also highlights the close link between a company's leadership and its home location.

Meta has not given further details about exactly how it would help cover the tax bill.

The news comes as several US states have discussed taxing extreme wealth in recent years.

California has one of the largest concentrations of billionaires in the world, including many tech leaders.

A tax of this kind could raise large amounts of money for the state's budget.