Should it be legal for the State of California to delay tax refunds on the basis of the lack of a budget?

Question

I apply for, and receive, a renters tax refund on my paid property taxes for the prior year, nearly every year since I learned I qualified for that refund.

I received a letter back from my inquiry to the franchise tax board, about, "Where is my refund?", notifying me, that I would be paid "promptly", 14 weeks after California signs their new Budget into law.

I don't believe this practice should be legal at all. I already paid those taxes, the state already has that tax money, I overpaid, and am due a refund. What does my refund have to do with the Legislature not being able to agree on a new budget? And, why, must I wait, 3-1/2 months after the budget is passed to get my refund?

If I were to turn the tables on either the State, or the Federal tax people, and send them a letter, telling them..."Me and my companion have not been able to agree on a new yearly household budget for this next coming year. Due to this unfortunate circumstance, your tax payment will be delayed until 14 weeks after a budget agreement has been reached. Unfortunately, we are deadlocked, and this process could take many months."....

If I sent a letter like that to the IRS, they would send an investigator out to my house immeadiately!!!

This practice should NOT BE LEGAL !!!

Does anyone agree with me on this?

Answer 1

The State gets to make the rules so you'll just have to learn to deal with it.  Only a few states offer renter's rebates anyway -- and personally I think the practice is dumb.  Be thankful you're getting anything at all.

Answer 2

It would be illegal if they DID pay out money that had not been passed by the legistature.

Aned by the way, a rebate isn't the same as a refund. You owed, and paid, your property tax - they are reimbursing you for some of it.  It's not like you overpaid in the first place.