General Discussion

AI Overview
Yes, Elon Musk will have to pay taxes on his pay package, which will be a massive amount because the pay consists of stock options, and he will have to sell some stock to pay the taxes on the gains. His tax liability will be based on the value of the stock options when he exercises them, which he has stated is his only source of income and requires him to sell stock to cover the taxes.

Source of income: Musk's compensation is not a cash salary or bonus, but rather stock options. This means he has no regular income to pay the tax bill, so he must sell stock to generate the cash needed to pay taxes on the gain.

Timing of tax liability: The taxes will be due next year based on the value of the options when he exercises them.

Tax on gains: He will be subject to federal and California income taxes on the huge gains from his stock options, which is likely to be an enormous amount.

Financial implications: To cover the taxes, Musk may need to sell a significant amount of his Tesla stock, which could affect his control over the company.