His proposed solution is a tax overhaul: Eliminate income taxes entirely for everyone making under $100,000 a year, starting in 2030. The roughly 123 million Americans who earn below that threshold would see their federal income tax bill go to zero. The shortfall would be made up by taxing capital gains at the same rate as ordinary income, with Khosla noting that “40% of all capital gains is paid by people making more than $10 million a year,” making the math work. Beyond tax reform, he floated a national wealth fund modeled on Norway’s oil fund, as well as robot and AI taxes, universal basic income, and near-free government services.
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