Another day, another incredible story. According to Reuters, the state of California is mulling refusing to release tax refunds to those who overpaid their taxes in 2008.
Now, aside from the fact that this is basically theft, where does State Controller John Chiang get the chutzpah to tell people, whose money this actually is, that they must wait 30 days (or perhaps more) to get their money back?
What do you think the IRS, or in the case of Sacramento, the Franchise Tax Board, would say if, come 15th April, you said: "I know that I owe a few thousand dollars, but I am facing a 'cash shortfall,' and so I am going to hold back my taxes for 30 days?" For some reason, I think interest and penalties at the least would descend on you like the winged monkeys from "The Wizard of Oz."
California's fiscal irresponsibility apparently knows neither bounds nor shame. Some are saying the state is on the edge of a financial abyss. Could all those years of reckless spending finally be coming home to roost? Ah the joys of one-party rule.