Registered warrants: income tax refunds.

Existing law prescribes procedures for the issuance of registered warrants and provides that a registered warrant is acceptable and may be used as security for the performance of any public or private trust or obligation. Under existing law, if the Franchise Tax Board finds that there has been an overpayment of any liability imposed under by a taxpayer pursuant to the Personal Income Tax Law for any year for any reason, the board is authorized to credit the amount of the overpayment against any amount then due from the taxpayer and the board is required to refund the balance to the taxpayer. This bill would prohibit the Controller from issuing a registered warrant for purposes of making any payments for a refund of taxes imposed under the Personal Income Tax Law. The California Constitution authorizes the Governor to declare a fiscal emergency and to call the Legislature into special session for that purpose. The Governor issued a proclamation declaring a fiscal emergency, and calling a special session for this purpose, on December 19, 2008. This bill would state that it addresses the fiscal emergency declared by the Governor by proclamation issued on December 19, 2008, pursuant to the California Constitution.