Business Magnate Elon Musk Has Shifted to Texas with his private foundation to Austin - VRGyani News and Media


Wednesday, December 9, 2020

Business Magnate Elon Musk Has Shifted to Texas with his private foundation to Austin

Texas/ Asustin, USA: Tesla CEO Elon Musk confirmed Tuesday he moved to Texas. Musk made the comment during an interview at The Wall Street Journal’s CEO Council annual summit.


Image Source: TheVerge

For Musk, a move to Texas could mean potential savings of billions in tax dollars. His 2018 Tesla compensation package rewards him when the company hits certain milestones. California has the highest income tax in the country, while Texas has no state income tax.


The CEO is also moving his private foundation to Austin, according to a report from Bloomberg news service. His California-based foundation, called the Musk Foundation, created an entity in Austin over the summer, Bloomberg reported. The two entities then merged, according to a certificate filed with the Texas Secretary of State in October that Musk signed, and the resulting entity is now based here.


Musk's foundation, which was founded in 2001, is focused on renewable energy, advocacy, space exploration, pediatric research, science and engineering education, and research and development around artificial intelligence. It has awarded a number of grants and keeps a bare-bones website. Its latest tax return shows total assets are almost $329 million as of June 2018, Bloomberg reported. 


Musk regularly spent time in Boca Chica and Austin, where his companies have locations. In Austin, Musk is building a $1.1 billion assembly facility for Tesla, while another firm he heads, called the Boring Company, is also located in the city. In addition to the growing list of Musk-run companies with a presence in the Austin region, his aerospace company – SpaceX – has a facility in Boca Chica on the coast. 


In July, Musk announced that Tesla would build a $1.1 billion manufacturing facility in southeastern Travis County, where the company will produce its Cybertruck, Semi, Model 3 compact sedan and other vehicles. It will potentially produce battery cells as well, according to the documents filed with the state.


Musk also told Texas Gov. Greg Abbott in July that he had acquired a Texas driver's license, Abbott previously said on CNBC's "Squawk Box." The Austin-area Tesla factory, which has already started construction, is expected to start rolling out vehicles as early as next year. The company received tax breaks approved by the county and the Del Valle Independent School District valued at a combined minimum of $60 million as a part of an incentive deal.


During a May disagreement with California lawmakers during which Tesla's factory in Fremont, Calif., remained shut down due to COVID-19 restrictions, the billionaire tweeted that he would move Tesla headquarters and future operations to Texas and Nevada. No change of headquarters for the Palo Alto, California-based company has followed so far.

Story by Kara Carlson for USA Today

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