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California May Give IOUs in Lieu of Refunds
Like the old Soviet saying: You pretend to pay us and we will pretend to work...If you expect you'll be getting a refund from California when you file your 2008 state income tax return, be prepared: you may instead receive a "registered warrant." Translation: an IOU. California is rapidly running out of money. Blame it on the state budget deficit that continues to bleed billions of dollars from California's reserves. Facing inadequate credit to make up the difference, California's Controller John Chiang warns that by the end of February, the nation's most populous state may not be able to pay some of its debts, and instead be reduced to issuing those creditors IOUs. Posted by: badanov 2009-01-01 |
| http://www.rantburg.com/poparticle.php?ID=258723 |