{"id":1234,"date":"2026-06-14T11:22:26","date_gmt":"2026-06-14T11:22:26","guid":{"rendered":"https:\/\/www.sterlingcooper.info\/blog\/?p=1234"},"modified":"2026-06-14T11:23:27","modified_gmt":"2026-06-14T11:23:27","slug":"californias-proposed-wealth-tax-is-makeing-some-leave-altogether-others-plan-strategies-to-avoid-it","status":"publish","type":"post","link":"https:\/\/www.sterlingcooper.info\/blog\/californias-proposed-wealth-tax-is-makeing-some-leave-altogether-others-plan-strategies-to-avoid-it\/","title":{"rendered":"CALIFORNIA&#8217;S PROPOSED WEALTH TAX IS MAKING SOME LEAVE ALTOGETHER; WHY LIVE IS A STATE THAT WANTS TO STEL YOUR WEALTH AND GIVE IT TO ILLEGAL ALIENS OTHERS PLAN STRATEGIES TO AVOID IT"},"content":{"rendered":"<div class=\"article-image-slot image-slot-placeholder\" data-is-first=\"true\" data-height=\"1280\" data-doc-id=\"cms\/api\/amp\/image\/AA25Ahyz\">\n<div class=\"article-image-slot\">\n<div class=\"article-image-container polished\" data-t=\"{&quot;n&quot;:&quot;OpenModal&quot;,&quot;t&quot;:13,&quot;b&quot;:8,&quot;c.i&quot;:&quot;AA25A9S3&quot;,&quot;c.l&quot;:false,&quot;c.t&quot;:13,&quot;c.v&quot;:&quot;finance&quot;,&quot;c.c&quot;:&quot;markets&quot;,&quot;c.b&quot;:&quot;The Wall Street Journal&quot;,&quot;c.bi&quot;:&quot;AAynGx&quot;,&quot;c.tv&quot;:&quot;finance&quot;,&quot;c.tc&quot;:&quot;economy&quot;,&quot;c.hl&quot;:&quot;Rich Californians are finding creative ways to get ahead of the billionaire tax&quot;}\" data-test-id=\"AA25Ahyz\">\n<p><button class=\"article-image-height-wrapper expandable article-image-height-wrapper-new\" data-customhandled=\"true\" data-t=\"{&quot;n&quot;:&quot;OpenModalButton&quot;,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:1,&quot;c.i&quot;:&quot;AA25A9S3&quot;,&quot;c.l&quot;:false,&quot;c.t&quot;:13,&quot;c.v&quot;:&quot;finance&quot;,&quot;c.c&quot;:&quot;markets&quot;,&quot;c.b&quot;:&quot;The Wall Street Journal&quot;,&quot;c.bi&quot;:&quot;AAynGx&quot;,&quot;c.tv&quot;:&quot;finance&quot;,&quot;c.tc&quot;:&quot;economy&quot;,&quot;c.hl&quot;:&quot;Rich Californians are finding creative ways to get ahead of the billionaire tax&quot;}\"><img decoding=\"async\" class=\"article-image article-image-ux-impr article-image-new expandable\" title=\"Rich Californians Are Finding Creative Ways to Get Ahead of the Billionaire Tax\" src=\"https:\/\/img-s-msn-com.akamaized.net\/tenant\/amp\/entityid\/AA25Ahyz.img?w=534&amp;h=534&amp;m=6\" alt=\"Rich Californians Are Finding Creative Ways to Get Ahead of the Billionaire Tax\" \/><\/button><\/p>\n<div class=\"image-caption-container image-caption-container-ux-impr articlewc-image-caption-container\"><span class=\"image-caption\">Rich Californians Are Finding Creative Ways to Get Ahead of the Billionaire Tax<\/span><span class=\"image-attribution image-attribution-ux-impr\">\u00a9\u00a0Alexandra Citrin-Safadi\/WSJ; iStock<\/span><\/div>\n<\/div>\n<\/div>\n<\/div>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Veteran tax-and-estate adviser Andrew Katzenstein was in his Los Angeles home earlier this year when he got a call from the family office of a longtime client about the proposal to impose a one-time, 5% tax on the net worth of California billionaires. His client, a real-estate investor with family in the state, was loath to pull up his roots and wanted Katzenstein to work with his team to figure out its implications for him.<\/p>\n<div class=\"intra-article-module\" data-t=\"{&quot;n&quot;:&quot;intraArticle&quot;,&quot;t&quot;:13}\">\n<div class=\"articlePageIntraArticleFullWidth ad-slot-placeholder left-image-intra-ad full-bleed-image-intra-ad intra-ad-rm-bg intra-ad-rm-h\" data-ad-index=\"0\">\n<div class=\"left-image-intra-ad full-bleed-image-intra-ad intra-article-display-ad\">\n<div class=\"displayAdContainer\">\n<div id=\"rectangle4_ece631f69345439cec64412589f2a34b\" class=\"displayAdWCContainer \" data-ad=\"&quot;v&quot;:1,&quot;d&quot;:1,&quot;r&quot;:1,&quot;s&quot;:undefined}\" data-anadid=\"756279077\">\n<div id=\"div_utif_rectangle4_ece631f69345439cec64412589f2a34b\"><\/div>\n<\/div>\n<p><a class=\"adSlug adChoicesOutside adSlugDisabled\" tabindex=\"-1\"><span class=\"adChoicesSpan\">Sponsored<\/span><\/a><\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p class=\"continue-read-break\" data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">The team of six set to work valuing the investor\u2019s private company and tallying his net worth. His client plans to pay the tax if it is implemented and he\u2019s subject to it, Katzenstein said. In the meantime, the investor has been looking at strategies that are as \u201ctax-efficient\u201d as possible, like speeding up his and his wife\u2019s charitable-giving plans.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">With help from their phalanx of tax and trust-and-estate advisers, California\u2019s ultrawealthy are getting creative in the face of the proposed billionaire tax. If it becomes law, it would tax the net worth of billionaires who resided in California as of Jan. 1 this year, based on their net worth at the end of the year.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">The state has already seen a few\u00a0<a href=\"https:\/\/www.wsj.com\/lifestyle\/california-billionaire-tax-income-6d48e22c\" target=\"_blank\" rel=\"noopener\" data-t=\"{&quot;n&quot;:&quot;destination&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:1,&quot;c.t&quot;:7}\">high-profile departures<\/a>. Other billionaires plan to stay put. Some are looking to lower their net worth tally to slash their potential tax bill under the proposal, or trying to escape from the wealth tax\u2019s net entirely. Others simply want to know where they stand so they can begin preparing, if necessary.<\/p>\n<p class=\"\" data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">\u201cPeople take steps to take advantage of the tax law before it changes all the time. This is just another example of that,\u201d said Katzenstein, a partner at accounting firm HCVT who is advising multiple clients on the proposed tax.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">It is a high-stakes question. The 5% tax would kick in at a net worth of $1.1 billion and higher, while lower tax rates would phase in at wealth levels ranging from just over $1 billion to just under $1.1 billion.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Katzenstein\u2019s client has given away hundreds of millions of dollars to charity with his wife over the years. The investor said that, given the choice, he would rather their money go to charities that he and his wife know do good work than to California\u2019s government, which he doesn\u2019t trust to use the funds effectively.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">He isn\u2019t alone. An early employee of an artificial-intelligence company who has shares that vest to the tune of $300 million this year is worried that the payout will push him into wealth-tax territory, said Jon Feldhammer, a former IRS trial attorney who now is managing partner of Baker Botts\u2019s San Francisco office. He and his client are trying to negotiate with the company so the unvested shares can be donated to charity.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">A founder of a private company is considering the delay of a funding round to put off a higher valuation for his equity stake in his company, Katzenstein said. The delay could extend until 2027, but the founder could proceed with the raise earlier if the tax is voted down.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Tax-and-estate advisers are also helping clients restructure their balance sheets to make them more tax-efficient. They are advising on the pros and cons of transferring real estate out of limited liability companies into clients\u2019 own names or into revocable trusts. Real estate \u201cheld directly\u201d by a taxpayer or a revocable trust isn\u2019t included in net worth under the proposed tax because it already is subject to property taxes. Advisers are also presenting the option to clients of splurging on a vacation home that they have had in their sights and owning it outright or placing it into a revocable trust.<\/p>\n<div class=\"intra-article-module\" data-t=\"{&quot;n&quot;:&quot;intraArticle&quot;,&quot;t&quot;:13}\">\n<div class=\"articlePageIntraArticleFullWidth left-image-intra-ad full-bleed-image-intra-ad intra-ad-rm-bg intra-ad-rm-h\">\n<div class=\"intra-article-relatedcontent\">\n<div class=\"video-clear-div\"><\/div>\n<p><a class=\"related-video-divider-top video-title related-video-link\" tabindex=\"0\" href=\"https:\/\/www.msn.com\/en-us\/video\/money\/11-ways-the-wealthy-insulated-themselves-from-the-system-they-helped-create\/vi-AA251XZ7?ocid=winp2fptaskbarhover\" target=\"_blank\" rel=\"noopener\" data-test-id=\"video-embed-title\" data-t=\"{&quot;n&quot;:&quot;RelatedVideoTitleLink&quot;,&quot;b&quot;:1,&quot;c.i&quot;:&quot;AA251XZ7&quot;}\"><img decoding=\"async\" src=\"https:\/\/assets.msn.com\/staticsb\/statics\/latest\/icons-wc\/icons\/VideoBlue.svg\" alt=\"\" \/><span class=\"related-video-title-bold\">Related video<\/span>:\u00a011 ways the wealthy insulated themselves from the system they helped create\u00a0(The Queen Zone)<\/a><\/p>\n<div class=\"video-wrapper \" tabindex=\"0\">\n<div class=\" videocard1PP video-embed-common related-video-divider-bottom videocardRelatedVideo\">\n<div class=\" content-video-container large-title \" data-t=\"{&quot;n&quot;:&quot;ContentVideoPlayer&quot;,&quot;t&quot;:61,&quot;c.i&quot;:&quot;AA251XZ7&quot;,&quot;c.l&quot;:false,&quot;c.t&quot;:61,&quot;c.v&quot;:&quot;finance&quot;,&quot;c.c&quot;:&quot;finance-small-business&quot;,&quot;c.b&quot;:&quot;The Queen Zone&quot;,&quot;c.bi&quot;:&quot;BB1kf5KG&quot;,&quot;ext&quot;:{&quot;videoId&quot;:&quot;AA251XZ7&quot;,&quot;videoCs&quot;:&quot;BB1kf5KG&quot;,&quot;eventType&quot;:31,&quot;timeElasped&quot;:4,&quot;videoFormatCode&quot;:1006,&quot;title&quot;:&quot;11 ways the wealthy insulated themselves from the system they helped create&quot;,&quot;videoDuration&quot;:142,&quot;fr&quot;:&quot;en-us_finance&quot;,&quot;playType&quot;:&quot;embed&quot;,&quot;playerTech&quot;:&quot;MSNPlayer&quot;,&quot;size&quot;:&quot;612x344&quot;,&quot;isContinuous&quot;:false,&quot;isMuted&quot;:true,&quot;playDuration&quot;:5,&quot;inline&quot;:true,&quot;vCard&quot;:1,&quot;videoPlayerType&quot;:&quot;BingMM&quot;,&quot;videoUrl&quot;:&quot;https:\/\/www.thequeenzone.com\/11-ways-the-wealthy-insulated-themselves-from-the-system-they-helped-create\/&quot;,&quot;perf&quot;:{},&quot;isVideoPreview&quot;:false},&quot;c.hl&quot;:&quot;11 ways the wealthy insulated themselves from the system they helped create&quot;}\">\n<div id=\"vjs_video_3\" class=\"video-js vjs-msn vjs-fill custom-background control-spacing opaque-control vjs_video_3-dimensions vjs-controls-enabled vjs-workinghover vjs-v8 vjs-user-active vjs-layout-medium vjs-qualitymenu vjs-telemetry vjs-has-started vjs-hide-bigplaybutton vjs-paused\" lang=\"en-us\" tabindex=\"-1\" role=\"region\" translate=\"no\" data-setup=\"{ &quot;inactivityTimeout&quot;: 0 }\" aria-label=\"11 ways the wealthy insulated themselves from the system they helped create Video Player\">\n<p><video id=\"vjs_video_3_html5_api\" class=\"vjs-tech\" tabindex=\"-1\" src=\"blob:https:\/\/www.msn.com\/5af0dda2-05fc-4e86-87ba-79d911321f66\" crossorigin=\"anonymous\" poster=\"https:\/\/www.msn.com\/en-us\/money\/markets\/rich-californians-are-finding-creative-ways-to-get-ahead-of-the-billionaire-tax\/ar-AA25A9S3?ocid=winp2fptaskbarhover&amp;cvid=6a2e8b4d4d9540ef93b7d054f42c1858&amp;ei=13\" preload=\"auto\" muted=\"muted\" width=\"300\" height=\"150\" data-setup=\"{ &quot;inactivityTimeout&quot;: 0 }\" data-customhandled=\"true\" data-t=\"{&quot;n&quot;:&quot;Player&quot;,&quot;t&quot;:61,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:57,&quot;ext&quot;:{&quot;videoCs&quot;:&quot;AA251XZ7&quot;,&quot;videoFormatCode&quot;:1006,&quot;title&quot;:&quot;11 ways the wealthy insulated themselves from the system they helped create&quot;,&quot;videoDuration&quot;:142,&quot;playerInstanceId&quot;:&quot;vjs_video_3_html5_api&quot;,&quot;playType&quot;:&quot;pb&quot;,&quot;playerTech&quot;:&quot;HTML5&quot;,&quot;pluginVersion&quot;:&quot;HTML5&quot;,&quot;size&quot;:&quot;612x344&quot;,&quot;videoPlayerType&quot;:&quot;mp4:progressive&quot;,&quot;playerType&quot;:&quot;HTML5&quot;,&quot;videoUrl&quot;:&quot;https:\/\/prod-streaming-video-msn-com.akamaized.net\/v1\/eus012\/ed0bc611-1633-4095-b87d-9639e2181181\/befa8298-6be6-4aea-9eed-e08c84c65566.m3u8&quot;}}\" data-mce-fragment=\"1\"><\/video><\/p>\n<div id=\"ad_iframe_container\"><\/div>\n<div class=\"vjs-title-bar\">\n<div class=\"vjs-title-provider\"><img decoding=\"async\" class=\"vjs-title-provider-img\" src=\"https:\/\/img-s-msn-com.akamaized.net\/tenant\/amp\/entityid\/AA1QigEO.img?w=16&amp;h=16&amp;q=60&amp;m=6&amp;f=jpg&amp;u=t\" alt=\"\" \/><span class=\"vjs-title-provider-name\">The Queen Zone<\/span><\/div>\n<div class=\"vjs-title-text\">11 ways the wealthy insulated themselves from the system they helped create<\/div>\n<\/div>\n<div class=\"vjs-text-track-display\" translate=\"yes\" aria-live=\"off\" aria-atomic=\"true\">\n<div>\n<div class=\"vjs-text-track-cue vjs-text-track-cue-en-us\" lang=\"en-us\">\n<div>helped create. Automated labor replacement.<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Another strategy under discussion: buying expensive assets like art or yachts located outside the state and keeping them out of California, perhaps near or in an out-of-state vacation home. (The Act excludes from net worth \u201ctangible personal property located outside California\u201d if it has been outside the state for at least 270 days this year, assuming it hasn\u2019t been temporarily moved \u201cwith a substantial purpose\u201d of tax avoidance.)<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">An approach that likely wouldn\u2019t affect a person\u2019s net-worth tally but could lower a tax bill, advisers said, is taking money from other investments and putting them into Treasurys, as federal law doesn\u2019t allow states to tax Treasurys.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">But the available suite of potential workarounds is \u201crelatively narrow\u201d and likely to be of most use to the slice of the ultrawealthy near the threshold at which the tax starts taking effect, said Mike Harman, a wealth adviser at J.P. Morgan Private Bank in Irvine, Calif. He and other advisers caution that any moves could trigger other, cascading tax implications.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Whether any of the strategies ultimately works will depend on the specific facts in play, said David Gamage, a professor at the University of Missouri law school who helped draft the proposed tax.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">\u201cI like to tell my students this maxim of tax-planning: Pigs get fed, hogs get slaughtered,\u201d Gamage said. \u201cYou can often get away with some amount of restructuring affairs, but if you go too far and get too greedy, you can get in trouble.\u201d<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">The healthcare union behind the proposed wealth tax has estimated it could raise $100 billion in revenue to offset cuts to healthcare in President Trump\u2019s signature tax-and-spending law last year. Critics have said the tax threatens innovation and the appeal of what is already one of the highest-tax states for the wealthy.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Debru Carthan, a radiologic technician and executive with the Service Employees International Union-United Healthcare Workers West, said in a statement, \u201cIt\u2019s offensive that when so many people are struggling to afford gas, groceries and life\u2019s necessities, there\u2019s a group of billionaires who are fixated on avoiding paying their fair share.\u201d<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Advisers said one group that may have fewer planning options is Silicon Valley founders who are billionaires on paper but have relatively little in the way of liquid net worth. That\u2019s partly because those entrepreneurs made the money themselves, Feldhammer said.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">According to Feldhammer\u2019s reading\u2014which some take issue with\u2014the Act taxes net worth when a wealth creator has transferred assets to trusts himself or herself. But those provisions don\u2019t necessarily tax wealth transferred to trusts by others\u2014say, parents or grandparents, said Feldhammer. \u201cThis targets self-made entrepreneurs more than multigenerational wealth,\u201d he said of the proposed tax. \u201cYou have more options if you\u2019re not the one who contributed assets to the trust.\u201d<\/p>\n<div class=\"intra-article-module\" data-t=\"{&quot;n&quot;:&quot;intraArticle&quot;,&quot;t&quot;:13}\">\n<div class=\"articlePageIntraArticleFullWidth ad-slot-placeholder left-image-intra-ad full-bleed-image-intra-ad intra-ad-rm-bg intra-ad-rm-h\" data-ad-index=\"1\">\n<div class=\"left-image-intra-ad full-bleed-image-intra-ad intra-article-display-ad\">\n<div class=\"displayAdContainer\">\n<div id=\"rectangle4_df80bb0956ad4f4497a46377111c10a1\" class=\"displayAdWCContainer \" data-ad=\"&quot;v&quot;:1,&quot;d&quot;:1,&quot;r&quot;:1,&quot;s&quot;:undefined}\" data-anadid=\"381846714\">\n<div id=\"div_utif_rectangle4_df80bb0956ad4f4497a46377111c10a1\"><\/div>\n<\/div>\n<p><a class=\"adSlug adChoicesOutside adSlugDisabled\" tabindex=\"-1\"><span class=\"adChoicesSpan\">Sponsored<\/span><\/a><\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">A complication: Advisers say the proposal leaves room for interpretation, making possible challenges from California\u2019s Franchise Tax Board in the form of audits or assessments, which could, in turn, kick off legal battles. (The board is expected to issue regulations dispelling at least some of the ambiguity if the wealth tax takes effect.)<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">The proposal also contains an anti-avoidance rule, meaning measures taken that reduce a tax bill need to have \u201ceconomic substance,\u201d or a material reason for being made other than avoiding taxes.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Advisers said their clients typically have significant alternative reasons to make the changes they are contemplating. Clients worried about geopolitical instability or inflation are looking to shift a portion of their wealth into safe-haven assets like Treasurys, Katzenstein said.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Jennifer Kowal, a senior income-tax strategist at San Francisco-based IEQ Capital, said giving to charity can quickly and effectively lower a client\u2019s balance sheet. The proposal says a charitable pledge won\u2019t reduce net worth if it was made after Oct. 15, 2025; Kowal draws a distinction between a pledge versus a gift that actually is made.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">She also thinks charitable gifts generally comply with the anti-avoidance provision. \u201cI can\u2019t imagine the state of California saying, we\u2019re going to trigger the anti-abuse rule because you made a large charitable donation\u201d given that donors have many nontax reasons to give, she said, loosely referring to the anti-avoidance rule.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Similarly, Kowal said moving real estate out of limited liability companies can remove the annual financial and administrative costs that come with maintaining LLCs.<\/p>\n<p data-t=\"{&quot;n&quot;:&quot;blueLinks&quot;,&quot;t&quot;:13,&quot;a&quot;:&quot;click&quot;,&quot;b&quot;:76}\">Some of her clients have joked about divorcing, as the assets of married couples count toward an individual\u2019s net worth.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Rich Californians Are Finding Creative Ways to Get Ahead of the Billionaire Tax\u00a9\u00a0Alexandra Citrin-Safadi\/WSJ; iStock Veteran tax-and-estate adviser Andrew Katzenstein was in his Los Angeles home earlier this year when he got a call from the family office of a longtime client about the proposal to impose a one-time, 5% tax on the net worth [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[27],"tags":[],"class_list":["post-1234","post","type-post","status-publish","format-standard","hentry","category-billionaires-in-the-world"],"_links":{"self":[{"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/posts\/1234","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/comments?post=1234"}],"version-history":[{"count":2,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/posts\/1234\/revisions"}],"predecessor-version":[{"id":1236,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/posts\/1234\/revisions\/1236"}],"wp:attachment":[{"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/media?parent=1234"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/categories?post=1234"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/tags?post=1234"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}