
Sunday California… Some Simple Tax Advice
As media stories increase regarding the State of California potentially issuing IOUs in coming months, many astute reporters seem to have completely missed a significant point.
News references have consistently lumped possible IOUs for State employees, vendors, taxpayers, and social services such as student aid, mental health and other welfare programs into the same basket. An IOU is an IOU, apparently.
However, an important distinction exists that simply should not be ignored in this “horn of un-plenty” situation. An IOU for a State program is quite different thanone for a tax refund.
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