State of California did this to me. Didn’t file one year because I’d had no income in that state, but they saw that I’d paid mortgage interest.
So, they imputed that my income was a least three times said mortgage payment and sent me a bill for the income taxes on that amount.
In essence, they just made up a number out of thin air and went on to enforce it to the point of grabbing the funds directly out of my bank account.
Coming soon on a Federal level.
I’m convinced they have been aware of moves for flat tax and fair tax and sales taxes....and like them...but not to replace the IRS, but to supplement it. That’s the kind of mindset there is in Washington now.
That Cali Tax Franchise Board is pure EVIL!