Jensen Huang Shrugs at California Wealth Tax Bill

JAKARTA — Nvidia founder and CEO Jensen Huang gave an unusual response when asked about a proposed wealth tax in California, United States, that could leave him facing nearly US$8 billion, or around Rp144 trillion, in taxes. In an interview with Bloomberg TV, Huang said he would not have a problem with the plan if it is actually implemented.

Huang’s comment is significant because the policy targets billionaires with wealth above US$1.1 billion and could hit a number of big names in Silicon Valley. While many tech entrepreneurs complain and worry the tax obligation could force them to sell shares, Huang chose a calm tone instead.

Wealth tax calculation that could reach Rp144 trillion

The proposal being discussed in California would impose a one-time 5% wealth tax on ultra-rich individuals. If the policy passes, around 200 of California’s wealthiest people would be included in the tax list. The revenue target is also substantial, at around US$100 billion.

Quoting CNBC, as of Jan. 6, 2026, Huang’s wealth was estimated at around US$155 billion. With that asset composition, the tax he would have to pay could reach around US$7.75 billion, equivalent to Rp129.42 trillion assuming an exchange rate of Rp16,700 per U.S. dollar. In other reports, the estimated tax was even said to be close to US$8 billion, or around Rp144 trillion.

The figure immediately turned California’s wealth tax proposal into a subject of debate. The reason is that the scheme does not only target income, but also economically valuable assets such as shares and business ownership. For someone like Huang, whose wealth is largely tied to Nvidia stock, such a rule would clearly have major consequences.

Jensen Huang stays relaxed, other tech figures are worried

Huang stressed that he has no objection to the tax the state government wants to implement. “I’ve never even thought about it,” Huang said in the interview. He also added, “We chose to live in Silicon Valley, and whatever tax they want to impose is fine with me.”

That stance stands in contrast to some other tech entrepreneurs. Palmer Luckey, founder of Anduril Industries, said the proposal could force company founders to seek large amounts of cash to meet their tax obligations. He said he and fellow founders would have to find “billions of dollars in cash” if the rule goes through.

Vinod Khosla, co-founder of Sun Microsystems, voiced similar concerns. According to him, a wealth tax could push billionaires to leave California before the rule fully takes effect. Fears about an exodus of wealthy residents are not new in U.S. tax debates.

Why California wants to tax billionaires

The tax proposal was introduced in November 2025 by health-care sector unions and backed by several progressive U.S. lawmakers, including Rep. Ro Khanna and Sen. Bernie Sanders. The goal is clear: to close California’s widening health budget deficit after federal government spending cuts.

The funds collected are also planned to support public education and food assistance programs. In other words, the policy is not just about collecting money from the super-rich, but also about helping the state cover large public service needs.

That is why the wealth tax debate has become sensitive. On one side is a sense of fiscal fairness; on the other, concerns about the investment climate.

To get onto the November 2026 ballot, the proposal must gather more than 870,000 signatures. That means the political road is still long. After that, California voters will decide whether the wealth tax is actually adopted or not.

The impact would not stop with Huang

If approved, billionaires living in California would be taxed on all economically valuable assets they own, including shares and business ownership, even if they move out of California after early 2026. There is also a provision allowing the tax to be paid in installments over five years.

At this point, what is being debated is not only the size of the tax, but also its knock-on effects. Some investors worry founders would have to sell shares to raise cash. Supporters of the policy, meanwhile, cite studies suggesting tax hikes do not always trigger a large-scale exodus among the wealthy or business owners.

A report from The New York Times on Dec. 26 said some business figures, such as Google co-founder Larry Page and venture capitalist Peter Thiel, were reportedly considering moving out of California before the end of 2025 to avoid the plan. However, neither has publicly announced a change of domicile.

Huang himself has a very deep cushion. Most of his wealth comes from about 3% of Nvidia shares. The chipmaker is now valued at more than US$4.6 trillion, driven by surging demand for chips used in artificial intelligence technology. And from there, the Rp144 trillion tax figure no longer feels like just a theory.