The Franchise Tax Board passed the buck. They went on to say:
Due to the state's persistent cash and budget problems, the State Controller has directed FTB to stop sending refund requests to the State Controller's Office for payment. Refund payments will resume when the State Controller indicates there is enough cash available to make refund payments.That excuse is not good enough. If I owed it taxes, the state wouldn't accept a claim by me that I don't have enough cash available to pay them as an excuse. I shouldn't have to accept it from them.
My refund (and I don't call it a "tax" refund because it's not taxes -- it's my earnings) is not the state's money and it never was. I didn't want the state to have my money in the first place. The only reason they have it is because they forced my employer to withhold it from my paychecks.
Since it's not the state's money, the controller shouldn't have spent it. They should have secured it in a trust fund or some kind of escrow account. After all, that's what the state requires of businesses that hold their clients' monies. Apparently, the state does not believe that 'what's good for the goose is good for the gander.' So I won't bother charging the state a penalty for not refunding my money in a timely manner.