JIBILIAN

Tony and Dorothy Jibilian appeal from a judgment dismissing their second amended complaint for a tax refund after the trial court sustained the demurrer of defendant Franchise Tax Board (FTB). We affirm the judgment because the Jibilians’ wages are taxable and FTB was not required to follow deficiency assessment procedures in order to deny a refund of taxes paid.

BACKGROUND

The Jibilians, who describe themselves as “citizens” of the State of California, filed state income tax returns for the years 1999, 2000, and 2001 and paid taxes for those years of $61,542, $56,730, and $90,470, respectively. Notwithstanding their payment of estimated taxes of $75,000 for 2002, they filed a state income tax return for 2002 claiming that the tax owed for that year was zero. The Jibilians asserted that the 2002 return was “a reflection of the Federal [income tax] return filed for the same year, which resulted in a full federal refund of $315,000.” FTB deemed the 2002 return to be frivolous and requested a valid return. The Jibilians then filed an amended return, “which was slightly modified with the same amount of tax owed shown to be $0.00.” The Jibilians considered the return to…