Meta has warned that its chief executive, Mark Zuckerberg, could leave California if the state introduces a tax on billionaires.

In a statement on Wednesday, the company said Zuckerberg had informed a special committee that he was considering such a move.

Meta has even decided to offer him a financial incentive to continue leading the company from California for the next eight years, despite the risk of incurring “a significant multi-billion-dollar tax liability”.

Under Meta’s plan, as described by Politico, the company will create a new class of shares that would allow its chief executive to sell up to half of his economic stake in Meta without relinquishing voting control.

In a memorandum submitted to the powerful US Securities and Exchange Commission (SEC), Meta also noted that Zuckerberg would probably sell properties he owns in California.

The wealth tax is on the ballot for California voters in November and proposes a one-off levy of 5% on the assets of billionaires.

Several technology industry leaders, including Google co-founder Sergey Brin, have spent millions of dollars trying to prevent the measure from being approved.

Nvidia chief executive Jensen Huang, however, is one of the few figures in the technology industry to have said he would not object to the tax.

Zuckerberg’s potential departure, and its implications for Meta, which is headquartered in Silicon Valley, could pose a significant threat to California’s economy, putting further pressure on Democratic Governor Gavin Newsom.

The California governor has voiced his opposition to the tax, arguing that a state-level policy would drive wealthy residents away, harming the wider economy and the state budget.