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If they're still based in CA when they IPO at least those initial taxes will be collectible in state (assuming they're structured in a way where the IPO is a ta
by harmmonica 1y ago
If they're still based in CA when they IPO at least those initial taxes will be collectible in state (assuming they're structured in a way where the IPO is a taxable event for the leadership and staff). Pretty sure the taxes collected from OpenAI will be the single biggest IPO tax windfall ever (correct me if I'm wrong, but I can't think of a bigger one).
- cosmicgadget 1y agoWe're finally going to get that bullet train.
- s3r3nity 1y agolol if you think $ was the barrier there, I have a few bridges to sell you too…
- harmmonica 1y agoOh man know I know I shouldn’t say it but that’s a genius reply! Thanks for the (depressing) laugh.
- int_19h 1y agoYeah, but it'll be run by ChatGPT. ~
- mmooss 1y agoWhat are the taxes on an IPO? It's capital gains, which aren't taxed until the capital (IPO stock) is liquidated. I'm sure some people will liquidate their stock promptly but I expect that most will hold it, expecting further growth, and that the big investors, including Altman, will hold onto it for because of the same reason, because they need to sell optimism (what would people think if Altman or Microsoft sold a significant chunk of stock?), and because OpenAI needs lots of assets to build datacenters and buy power.
- dragonwriter 1y agostocks sold by the company in an IPO aren’t taxable income. Pre-IPO stocks that people liquidate because there is now a liquid market and they want to realize some gains will generate some, but I don’t know how you’d predict the magnitude of that.