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'Yes': 57.9 per cent of Twitter users support Elon Musk's idea to sell 10% of his Tesla stock

Musk previously stated that he would have to execute many stock options in the next three months, resulting in a huge tax burden. Selling some of his shares may allow him to pay his taxes.

Yes 579 per cent of Twitter users support Elon Musk idea to sell his Tesla stock gcw
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Washington D.C., First Published Nov 8, 2021, 10:09 AM IST
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Elon Musk, CEO of Tesla Inc, should sell around 10% of his Tesla shares, according to 57.9% of those who participated in a Twitter poll asking if he should sell the holding. After the voting was completed, Musk said he was ready to accept either conclusion. On Saturday, the Tesla owner tweeted that he would sell 10% of his stock if users supported the idea. Musk previously stated that he would have to execute many stock options in the next three months, resulting in a huge tax burden. Selling some of his shares may allow him to pay his taxes.

According to Reuters estimates, Musk's investment in Tesla was around 170.5 million shares as of June 30, and selling 10% would equate to close to $21 billion based on Friday's closing price. More than 3.5 million people voted in the survey. Elon Musk stated that he receives no monetary compensation or incentives from anyone on the microblogging site. He went on to say that because he is the sole owner of the stock, the only way for him to pay taxes is to sell shares.

Also Read | Tesla owner Elon Musk to his followers: 'Should I sell 10 per cent of my Tesla stock?'

US Senate Democrats have proposed taxing billionaires' stocks and other tradeable assets to help pay President Joe Biden's social spending plan and close a loophole that has enabled them to avoid capital gains taxes forever. Musk slammed the notion, stating that they run out of other people's money, and then they come after you. On Saturday, Senate Finance Committee Chairman Ron Wyden said whether or not the world's wealthiest man pays any taxes at all should not rely on the results of a Twitter poll. Musk owns 23% of Tesla, the world's most valuable automobile company, with a market value that recently reached $1 trillion. He also owns a number of key companies, including SpaceX.

Also Read | Elon Musk's 'open' challenge to UN: Will sell $6 bn Tesla stock to solve world hunger, if...

Musk has stated that he does not want to borrow against stock to pay taxes since the stock value may fall. In September, he claimed that he expects to pay taxes on more than half of the revenues generated by exercising options. On Friday, his brother Kimbal Musk sold 88,500 Tesla shares, making him the fourth board member to liquidate many Tesla equities that had reached record highs. Musk previously on Twitter that he would sell $6 billion in Tesla shares and donate the earnings to the United Nations World Food Program in exchange for greater transparency about how the money was used.

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