San Francisco's business tax overhaul, passed as Prop M in November 2024, is now at the center of a fresh fight as city hall considers a new "CEO Tax" that critics say would hit tech companies with up to an 800% increase in their Administrative Office Tax burden. The stakes are high: SF is the only major tech hub in America with *growing* startup formation (up 24% since 2022), and opponents argue the proposed tax could squander that advantage. Garry Tan and allied groups are sounding the alarm that populist-branded tax policy could drive out the very companies fueling SF's AI boom.
San Francisco is the only tech hub in America with growing startup formation—and city hall is doing everything it can to drive companies out.