UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    FORM 10-K/A

(Mark One)

[X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
                                   ACT OF 1934
                    For the fiscal year ended March 31, 2007

                                       OR

[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
                              EXCHANGE ACT OF 1934

             For the transition period from          to
                                           ----------  -----------

                         Commission file number: 0-20056

                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
             (Exact name of registrant as specified in its charter)

                 California                         33-0433017
                (State or other jurisdiction of    (I.R.S. Employer
               incorporation or organization)      Identification No.)

                        17782 Sky Park Circle 92614-6404
                              Irvine, CA (Zip Code)
                    (Address of principal executive offices)

                                 (714) 662-5565
                               (Telephone number)


           Securities registered pursuant to Section 12(b) of the Act:

                                      NONE

           Securities registered pursuant to section 12(g) of the Act:

                      UNITS OF LIMITED PARTNERSHIP INTEREST
                                (Title of Class)


Indicate by check mark if the  registrant is a well-known  seasoned  issuer,  as
defined in Rule 405 of the Securities Act
Yes_____ No___X__

Indicate  by  check  mark if the  registrant  is not  required  to file  reports
pursuant to Section 13 or Section 15(d) of the Act.
Yes_____ No___X__

<PAGE>
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days.

Yes               No      X
   ---------------  ----------------

Indicate by check mark if disclosure of delinquent  filers  pursuant to Item 405
of Regulation  S-K is not contained  herein,  and will not be contained,  to the
best of registrant's  knowledge,  in definitive proxy or information  statements
incorporated by reference in Part III of this Form 10-K or any amendment to this
Form 10-K. |X|

Indicate by check mark whether the registrant is a large  accelerated  filer, an
accelerated  filer, or a  non-accelerated  filer. See definition of "accelerated
filer and large  accelerated  filer" in Rule 12b-2 of the Exchange  Act.  (Check
one): Large accelerated filer    Accelerated filer    Non-accelerated filer  X
                             ----                 ----                     -----
Indicate by check mark whether the  registrant is a shell company (as defined in
Rule 12b-2 of the Exchange Act).

Yes      No   X
   ------  ------

State the aggregate market value of the voting and non-voting common equity held
by non-affiliates  computed by reference to the price at which the common equity
was last sold, or the average bid and asked price of such common  equity,  as of
the last business day of the registrant's most recently  completed second fiscal
quarter.

                                  INAPPLICABLE


                       DOCUMENTS INCORPORATED BY REFERENCE

List hereunder the following documents if incorporated by reference and the Part
of the Form 10-K  (e.g.,  Part I, Part II,  etc.)  into  which the  document  is
incorporated:  (1) Any  annual  report  to  security  holders;  (2) Any proxy or
information  statement;  and (3) Any prospectus filed pursuant to Rule 424(b) or
(c) under the  Securities Act of 1933.  The listed  documents  should be clearly
described for identification  purposes (e.g.,  annual report to security holders
for fiscal year ended December 24, 1980).

                                      NONE
<PAGE>


             REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM


To the Partners
WNC California Housing Tax Credits II, LP

     We have audited the accompanying  balance sheets of WNC California  Housing
Tax Credits II LP (a California  Limited  Partnership)  (the  Partnership) as of
March 31, 2007 and 2006,  and the related  statements of  operations,  partners'
deficit and cash flows for the  periods  ended  March 31,  2007,  2006 and 2005.
These  financial   statements  are  the   responsibility  of  the  Partnership's
management.  Our  responsibility  is to express  an  opinion on these  financial
statements based on our audits.

     We  conducted  our audits in  accordance  with the  standards of the Public
Company Accounting Oversight Board (United States). Those standards require that
we plan and perform the audit to obtain  reasonable  assurance about whether the
financial  statements are free of material  misstatement.  The  Partnership  has
determined  that it is not required to have, nor were we engaged to perform,  an
audit of its  internal  control over  financial  reporting.  Our audit  included
consideration  of internal  controls  over  financial  reporting  as a basis for
designing audit  procedures that are appropriate in the  circumstances,  but not
for  the  purpose  of  expressing  an  opinion  on  the   effectiveness  of  the
Partnership's internal control over financial reporting. Accordingly, we express
no  such  opinion.  An  audit  includes  examining,  on a test  basis,  evidence
supporting  the amounts and  disclosures in the financial  statements.  An audit
also includes assessing the accounting principles used and significant estimates
made by  management,  as well as  evaluating  the  overall  financial  statement
presentation.  We believe  that our audits  provide a  reasonable  basis for our
opinion.

     In our opinion,  the financial statements referred to above present fairly,
in all material  respects,  the financial position of WNC California Housing Tax
Credits II, LP (a California Limited Partnership) as of March 31, 2007 and 2006,
and the results of its operations and its cash flows for the periods ended March
31, 2007,  2006 and 2005 in  conformity  with  accounting  principles  generally
accepted in the United States of America.

     Our  audits  were made for the  purpose  of forming an opinion on the basic
financial  statements taken as a whole. The schedules listed under Item 15(a)(2)
in the index are presented for the purpose of complying  with the Securities and
Exchange  Commission's rules and are not part of the basic financial statements.
These  schedules have been subjected to the auditing  procedures  applied to the
audits of the basic  financial  statements  and,  in our  opinion,  based on our
audits,  fairly state in all  material  respects the  financial  statement  data
required to be set forth therein in relation to the basic  financial  statements
taken as a whole.





/s/ Reznick Group, P.C.
-----------------------

Bethesda, Maryland
July 18, 2007



<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                                 BALANCE SHEETS
<TABLE>
<CAPTION>
                                                                                                             March 31,
                                                                                            ----------------------------------------
                                                                                                    2007                  2006
                                                                                            ------------------    ------------------
ASSETS
<S>                                                                                        <C>                    <C>
Cash and cash equivalents                                                                 $          80,667      $          106,445
Investments in Local Limited Partnerships, net (Notes 2 and 3)                                            -                      -
    Total Assets                                                                          ------------------      ------------------
                                                                                          $          80,667      $          106,445
                                                                                          ==================      ==================
LIABILITIES AND PARTNERS' DEFICIT

Liabilities:
   Accrued fees and expenses due to General Partner
     and affiliates (Note 3)                                                              $       2,572,708      $        2,384,670
                                                                                          ------------------      ------------------
Partners' deficit:
    General Partner                                                                                (190,181)               (188,043)
    Limited Partners (20,000 Partnership Units authorized; 17,726
     Partnership Units issued and outstanding)                                                   (2,301,860)             (2,090,182)
                                                                                          ------------------      ------------------
      Total Partners' Deficit                                                                    (2,492,041)             (2,278,225)
                                                                                          ------------------      ------------------
       Total Liabilities and Partners' Deficit                                            $          80,667      $          106,445
                                                                                          ==================      ==================
</TABLE>

                                       24
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                            STATEMENTS OF OPERATIONS
<TABLE>
<CAPTION>
                                                                                         For the Years Ended
                                                                                               March 31,
                                                                   -----------------------------------------------------------------
                                                                          2007                    2006                   2005
                                                                   ------------------      -----------------      ------------------
<S>                                                             <C>                      <C>                   <C>
Interest income                                                  $               427      $             725     $               654
Reporting fees                                                                 8,896                  4,874                   7,506
Distribution income                                                            9,283                  6,846                   3,620
                                                                  ------------------      -----------------      ------------------
   Total income                                                               18,606                 12,445                  11,780
                                                                  ------------------      -----------------      ------------------
Operating expenses:
   Amortization (Notes 2 and 3)                                                    -                      2                  16,756
   Write-off of advances to
     Local Limited Partnerships (Note 2)                                           -                 33,303                       -
   Write off of due from affiliates                                                -                      -                   3,646
   Asset management fees (Note 3)                                            210,084                210,084                 210,084
   Impairment loss (Note 2)                                                        -                      -               1,054,476
   Accounting fees                                                            15,109                 25,972                  20,525
   Other                                                                       7,229                  6,951                   8,412
                                                                  ------------------      -----------------      ------------------
    Total operating expenses                                                 232,422                276,312               1,313,899
                                                                  ------------------      -----------------      ------------------
Loss from operations                                                        (213,816)              (263,867)             (1,302,119)

Equity in losses of Local Limited
  Partnerships (Note 2)                                                            -                (86,213)               (386,175)
                                                                  ------------------      -----------------      ------------------
Net loss                                                          $         (213,816)     $        (350,080)    $        (1,688,294)
                                                                  ==================      =================      ==================
Net loss allocated to:
  General Partner                                                 $           (2,138)     $          (3,501)    $           (16,882)
                                                                  ==================      =================      ==================
  Limited Partners                                                $         (211,678)     $        (346,579)    $        (1,671,412)
                                                                  ==================      =================      ==================
Net loss per  Partnership Unit                                    $           (11.95)     $          (19.55)    $            (94.29)
                                                                  ==================      =================      ==================
Outstanding weighted Partnership Units                                        17,726                 17,726                  17,726
                                                                  ==================      =================      ==================
</TABLE>
                                       25
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    STATEMENTS OF PARTNERS' EQUITY (DEFICIT)

               For the Years Ended March 31, 2006, 2005, and 2004
<TABLE>
<CAPTION>
                                                             General Partner           Limited Partners                Total
                                                           --------------------       --------------------      --------------------
<S>                                                      <C>                       <C>                        <C>
Partners' deficit at March 31, 2004                       $            (167,660)    $             (72,191)     $           (239,851)

Net loss                                                                (16,882)               (1,671,412)               (1,688,294)
                                                           --------------------       --------------------      --------------------
Partners' deficit at March 31, 2005                                    (184,542)               (1,743,603)               (1,928,145)

Net loss                                                                 (3,501)                 (346,579)                 (350,080)
                                                           --------------------       --------------------      --------------------
Partners' deficit at March 31, 2006                                    (188,043)               (2,090,182)               (2,278,225)

Net loss                                                                 (2,138)                 (211,678)                 (213,816)
                                                           --------------------       --------------------      --------------------
Partners' deficit at March 31, 2007                       $            (190,181)    $          (2,301,860)     $         (2,492,041)
                                                           ====================       ====================      ====================
</TABLE>
                                       26
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                            STATEMENTS OF CASH FLOWS
<TABLE>
<CAPTION>
                                                                                           For the Years
                                                                                          Ended March 31,
                                                                 -------------------------------------------------------------------
                                                                        2007                    2006                    2005
                                                                 -------------------      -----------------       ------------------
<S>                                                                        <C>                      <C>                    <C>
Cash flows from operating activities:
   Net loss                                                   $           (213,816)     $        (350,080)     $        (1,688,294)
   Adjustments to reconcile net loss to
     net cash used in operating
     activities:
      Amortization                                                               -                      2                   16,756
      Equity in losses of Local Limited
        Partnerships                                                             -                 86,213                  386,175
      Impairment loss                                                            -                      -                1,054,476
      Change in due from affiliates                                                                     -                    3,646
      Change in accrued fees and
       expenses due to General Partner
       and affiliates                                                      188,038                187,048                  200,527
                                                                 -------------------      -----------------       ------------------
Net cash used in operating activities                                      (25,778)               (76,817)                 (26,714)
                                                                 -------------------      -----------------       ------------------
Cash flows from investing activities:
   Distributions from Local Limited Partnerships                                 -                      -                    3,100
                                                                 -------------------      -----------------       ------------------
Net decrease in cash and
  cash equivalents                                                         (25,778)               (76,817)                 (23,614)

Cash and cash equivalents, beginning
  of period                                                                106,445                183,262                  206,876
                                                                 -------------------      -----------------       ------------------
Cash and cash equivalents, end of
  period                                                     $              80,667      $         106,445      $           183,262
                                                                 ===================      =================       ==================
SUPPLEMENTAL DISCLOSURE OF
    CASH FLOW INFORMATION:
    Taxes paid                                               $                 800      $             800      $               800
                                                                 ===================      =================       ==================
</TABLE>
                                       27
<PAGE>

                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                          NOTES TO FINANCIAL STATEMENTS

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
--------------------------------------------------------------------

Organization
------------

WNC  California  Housing Tax Credits II, L.P. a California  Limited  Partnership
(the  "Partnership"),  was formed on  September  13,  1990 under the laws of the
State of California.  The  Partnership  was formed to invest  primarily in other
limited  partnerships (the "Local Limited  Partnerships")  which own and operate
multi-family  housing complexes (the "Housing  Complexes") that are eligible for
Low Income Housing Tax Credits.  The local general  partners (the "Local General
Partners")  of  each  Local  Limited   Partnership  retain   responsibility  for
maintaining, operating and managing the Housing Complex.

The general partner is WNC Tax Credit  Partners,  L.P. (the "General  Partner").
WNC &  Associates,  Inc.  ("Associates")  and  Wilfred N. Cooper are the general
partners  of WNC Tax  Credit  Partners,  L.P.  The  chairman  and  president  of
Associates owns  substantially all of the outstanding  stock of Associates.  The
business of the Partnership is conducted  primarily through  Associates,  as the
General Partner and the Partnership have no employees of their own.

The Partnership  shall continue in full force and effect until December 31, 2050
unless  terminated  prior to that date pursuant to the partnership  agreement or
law.

The financial  statements  include only activity relating to the business of the
Partnership,  and do not give  effect to any assets that the  partners  may have
outside of their interests in the Partnership, or to any obligations,  including
income taxes of the partners.

The Partnership  Agreement  authorized the sale of up to 20,000 units of Limited
Partnership interest  ("Partnership  Units") at $1,000 per Partnership Unit. The
offering of  Partnership  Units  concluded  in January 1993 at which time 17,726
Partnership Units, representing subscriptions in the amount of $17,726,000,  had
been accepted.  The General  Partner has a 1% interest in operating  profits and
losses,  taxable  income and losses,  cash available for  distribution  from the
Partnership and tax credits of the Partnership. The investors in the Partnership
("Limited  Partners")  will be  allocated  the  remaining  99% of these items in
proportion to their respective investments.

The  proceeds  from the  disposition  of any of the  Local  Limited  Partnership
properties  will be used  first  to pay  debts  and  other  obligations  per the
respective Local Limited Partnership Agreement. Any remaining proceeds will then
be paid to the  Partnership.  The sale of a Housing  Complex  may be  subject to
other restrictions and obligations.  Accordingly, there can be no assurance that
a Local Limited Partnership will be able to sell its Housing Complex. Even if it
does so, there can be no assurance that any significant  amounts of cash will be
distributed to the  Partnership.  Should such  distributions  occur, the Limited
Partners  will be  entitled  to  receive  distributions  equal to their  capital
contributions  and their  return on  investment  (as defined in the  Partnership
Agreement) and the General  Partners would then be entitled to receive  proceeds
equal to their capital contributions from the remainder.  Any additional sale or
refinancing  proceeds  will  be  distributed  90% to the  Limited  Partners  (in
proportion to their respective investments) and 10% to the General Partners.

Risks and Uncertainties
-----------------------

An investment in the  Partnership  and the  Partnership's  investments  in Local
Limited  Partnerships  and their Housing  Complexes are subject to risks.  These
risks may impact the tax benefits of an investment in the  Partnership,  and the
amount of proceeds  available for distribution to the Limited Partners,  if any,
on liquidation of the Partnership's investments. Some of those risks include the
following:
                                       28
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued
--------------------------------------------------------------------------------

The  Low  Income   Housing  Tax  Credits   rules  are   extremely   complicated.
Noncompliance  with these rules results in the loss of future Low Income Housing
Tax  Credits  and the  fractional  recapture  of Low Income  Housing Tax Credits
already taken. In most cases the annual amount of Low Income Housing Tax Credits
that an  individual  can use is limited to the tax liability due on the person's
last $25,000 of taxable income. The Local Limited  Partnerships may be unable to
sell the Housing  Complexes  at a price which  would  result in the  Partnership
realizing cash distributions or proceeds from the transaction.  Accordingly, the
Partnership  may be unable to distribute any cash to its Limited  Partners.  Low
Income  Housing Tax Credits may be the only  benefit from an  investment  in the
Partnership.

The Partnership has invested in a limited number of Local Limited  Partnerships.
Such  limited  diversity  means that the  results of  operation  of each  single
Housing  Complex  will have a greater  impact on the  Partnership.  With limited
diversity,   poor   performance   of  one  Housing   Complex  could  impair  the
Partnership's ability to satisfy its investment objectives. Each Housing Complex
is subject to mortgage  indebtedness.  If a Local Limited  Partnership failed to
pay its  mortgage,  it  could  lose  its  Housing  Complex  in  foreclosure.  If
foreclosure  were to occur during the first 15 years,  the loss of any remaining
future Low Income  Housing Tax  Credits,  a  fractional  recapture  of prior Low
Income Housing Tax Credits,  and a loss of the  Partnership's  investment in the
Housing   Complex  would  occur.   The  Partnership  is  a  limited  partner  or
non-managing  member  of  each  Local  Limited  Partnership.   Accordingly,  the
Partnership  will have very  limited  rights with respect to  management  of the
Local  Limited  Partnerships.  The  Partnership  will rely  totally on the Local
General  Partners.  Neither  the  Partnership's  investments  in  Local  Limited
Partnerships,  nor  the  Local  Limited  Partnerships'  investments  in  Housing
Complexes,  are readily marketable.  To the extent the Housing Complexes receive
government financing or operating subsidies,  they may be subject to one or more
of the  following  risks:  difficulties  in  obtaining  tenants  for the Housing
Complexes;  difficulties  in  obtaining  rent  increases;  limitations  on  cash
distributions;  limitations  on  sales  or  refinancing  of  Housing  Complexes;
limitations on transfers of interests in Local Limited Partnerships; limitations
on removal of Local  General  Partners;  limitations  on subsidy  programs;  and
possible changes in applicable regulations. Uninsured casualties could result in
loss of property and Low Income  Housing Tax Credits and recapture of Low Income
Housing Tax  Credits  previously  taken.  The value of real estate is subject to
risks  from  fluctuating  economic   conditions,   including  employment  rates,
inflation,  tax, environmental,  land use and zoning policies, supply and demand
of similar properties, and neighborhood conditions, among others.

The  ability of Limited  Partners to claim tax losses  from the  Partnership  is
limited.  The IRS may audit the  Partnership or a Local Limited  Partnership and
challenge the tax treatment of tax items.  The amount of Low Income  Housing Tax
Credits and tax losses allocable to the Limited Partners could be reduced if the
IRS were  successful  in such a  challenge.  The  alternative  minimum tax could
reduce tax benefits from an investment in the  Partnership.  Changes in tax laws
could also impact the tax benefits from an investment in the Partnership  and/or
the value of the Housing Complexes.

Substantially  all of the Low  Income  Housing  Tax  Credits  anticipated  to be
realized from the Local Limited Partnerships have been realized. The Partnership
does not anticipate  being allocated a significant  amount of Low Income Housing
Tax Credits from the Local Limited  Partnerships in the future.  Until the Local
Limited  Partnerships  have completed the 15 year Low Income Housing Tax Credits
compliance  period  risks  exist for  potential  recapture  of prior Low  Income
Housing Tax Credits.

Associates has agreed to continue providing  advances  sufficient enough to fund
the operations and working capital  requirements of the Partnership through July
31, 2008, if the Partnership were to experience a working capital deficiency.

                                       29
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued
--------------------------------------------------------------------------------

Anticipated  future and  existing  cash  resources  of the  Partnership  are not
sufficient   to  pay  existing   liabilities   of  the   Partnership.   However,
substantially all of the existing  liabilities of the Partnership are payable to
the General  Partner and/or its  affiliates.  Though the amounts  payable to the
General Partner and/or its affiliates are contractually  currently payable,  the
Partnership  anticipates that the General Partner and/or its affiliates will not
require the payment of these contractual  obligations until capital reserves are
in excess of the aggregate of then  existing  contractual  obligations  and then
anticipated future foreseeable  obligations of the Partnership.  The Partnership
would be adversely  affected  should the General  Partner  and/or its affiliates
demand current  payment of the existing  contractual  obligations and or suspend
services for this or any other reason.

No trading  market for the  Partnership  Units exists or is expected to develop.
Limited  Partners  may be unable to sell  their  Partnership  Units  except at a
discount  and  should  consider  their  Partnership  Units  to  be  a  long-term
investment.  Individual  Limited Partners will have no recourse if they disagree
with actions authorized by a vote of the majority of Limited Partners.

Exit Strategy
-------------

The IRS  Compliance  Period for  low-income  housing  tax credit  properties  is
generally  15  years  following   construction  or  rehabilitation   completion.
Associates was one of the first in the industry to offer syndicated  investments
in Low Income Housing Tax Credits.  The initial  programs are  completing  their
compliance periods.

With that in mind,  the General  Partner is continuing its review of the Housing
Complexes,  with special  emphasis on the more mature Housing  Complexes such as
any that have satisfied the IRS compliance  requirements.  The review  considers
many factors, including extended use requirements (such as those due to mortgage
restrictions  or state  compliance  agreements),  the  condition  of the Housing
Complexes and the tax  consequences to the Limited Partners from the sale of the
Housing Complexes.

Upon  identifying  those  Housing  Complexes  with the highest  potential  for a
successful sale, refinancing or syndication,  the Partnership expects to proceed
with  efforts to  liquidate  them.  The  objective  is to  maximize  the Limited
Partners'  return  wherever   possible  and,   ultimately,   to  wind  down  the
Partnership.  Local Limited Partnership interests may be disposed of any time by
the  General  Partner  in its  discretion.  As of March  31,  2007,  no  Housing
Complexes have been selected for disposition.  While  liquidation of the Housing
Complexes  continue to be evaluated,  the dissolution of the Partnership was not
imminent as of March 31, 2007 and  therefore  the  Partnership  continues  to be
accounted for as a going concern.

As of March 31, 2007, no Housing Complexes had been selected for disposition. As
of March 31, 2007 three of the Local  Limited  Partnerships  had  completed  the
15-year compliance period. Subsequent to year-end the Partnership identified the
Housing Complex of one Local Limited  Partnership,  Ukiah Terrace,  a California
limited  partnership,  for disposition.  Ukiah Terrace has completed its 15-year
compliance  period as of  December 31, 2006.  Preliminary  consent  solicitation
materials were filed with the SEC on June 7 and 14, 2007.

                                       30
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued
--------------------------------------------------------------------------------

Properties Identified for Disposition
-------------------------------------

The  Partnership  has  identified  the Housing  Complexes  of one Local  Limited
Partnership,  Ukiah Terrace,  a California  limited  partnership,  ("Ukiah") for
disposition.  Ukiah owns the Ukiah  Terrace  Apartments  (the "Ukiah  Property")
located in Ukiah,  California.  Consistent with the investment objectives of the
Partnership,  the Ukiah  Property  qualified for Federal low income  housing tax
credits under the Internal Revenue Code for a 10-year period.  The credit period
has expired,  and no further  credits are being generated by the Ukiah Property.
The 15-year  Federal  compliance  period has also expired,  so there would be no
credit recapture upon a transfer of the Ukiah Property.

On June 7, June 14, and July 9, 2007, the Partnership filed preliminary  consent
solicitation materials with the Securities and Exchange Commission regarding the
sale of the Ukiah  Property.  Definitive  materials have not been filed with the
SEC or disseminated to the Partnership's Limited Partners.

Method of Accounting For Investments in Local Limited Partnerships
------------------------------------------------------------------

The Partnership accounts for its investments in Local Limited Partnerships using
the equity method of accounting,  whereby the Partnership adjusts its investment
balance for its share of the Local Limited  Partnerships'  results of operations
and for any  contributions  made and  distributions  received.  The  Partnership
reviews the  carrying  amount of an  individual  investment  in a Local  Limited
Partnership for possible  impairment whenever events or changes in circumstances
indicate that the carrying  amount of such  investment  may not be  recoverable.
Recoverability  of such investment is measured by the estimated value derived by
management,  generally  consisting of the sum of the remaining future Low Income
Housing  Tax  Credits  estimated  to be  allocable  to the  Partnership  and the
estimated  residual value to the Partnership.  If an investment is considered to
be impaired, the Partnership reduces the carrying value of its investment in any
such Local Limited  Partnership.  The  accounting  policies of the Local Limited
Partnerships,  generally,  are  expected  to be  consistent  with  those  of the
Partnership.  Costs incurred by the Partnership in acquiring the investments are
capitalized  as part of the investment  account and are being  amortized over 30
years. (see Notes 2 and 3)

"Equity in losses of Local  Limited  Partnerships"  for each year ended March 31
have been recorded by the Partnership  based on nine months of reported  results
provided by the Local Limited  Partnerships  for each year ended December 31 and
on  three  months  of  results  estimated  by  management  of  the  Partnership.
Management's  estimate  for the  three-month  period is based on  either  actual
un-audited  results  reported by the Local  Limited  Partnerships  or historical
trends in the operations of the Local Limited Partnerships. In subsequent annual
financial  statements,  upon receiving the actual annual results reported by the
Local Limited  Partnerships,  management reverses its prior estimate and records
the actual results reported by the Local Limited Partnerships.  Equity in losses
from  the  Local  Limited  Partnerships  allocated  to  the  Partnership  is not
recognized to the extent that the  investment  balance  would be adjusted  below
zero.  As soon as the  investment  balance  reaches  zero,  amortization  of the
related  costs of acquiring  the  investment  are  accelerated  to the extent of
losses  available  (see Note 3). If the Local  Limited  Partnerships  report net
income in future years,  the Partnership  will resume applying the equity method
only  after its share of such net  income  equals  the share of net  losses  not
recognized during the period(s) the equity method was suspended.

The  Partnership  does not  consolidate the accounts and activities of the Local
Limited  Partnerships,  which are considered  Variable  Interest  Entities under
Financial    Accounting   Standards   Board   Interpretation   No.   46-Revised,
"Consolidation  of Variable Interest  Entities",  because the Partnership is not
considered the primary beneficiary.  The Partnership's balance in investments in
Local Limited Partnerships, plus the risk of recapture of tax credits previously
recognized  on such  investments,  represents  the  maximum  exposure to loss in
connection  with such  investments.  The  Partnership's  exposure to loss on the
Local  Limited   Partnerships  is  mitigated  by  the  condition  and  financial
performance of the underlying  Housing  Complexes as well as the strength of the
local General Partners and their guarantees against credit recapture.

                                       31
<PAGE>
                  WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued
--------------------------------------------------------------------------------

Distributions  received from the Local Limited Partnerships are accounted for as
a  reduction  of  the  investment  balance.  Distributions  received  after  the
investment has reached zero are recognized as distribution income.

Use of Estimates
----------------

The preparation of financial statements in conformity with accounting principles
generally  accepted in the United States of America requires  management to make
estimates  and  assumptions  that  affect  the  reported  amounts  of assets and
liabilities  and disclosure of contingent  assets and liabilities at the date of
the  financial  statements,  and the  reported  amounts of revenues and expenses
during the reporting  period.  Actual results could materially differ from those
estimates.

Cash and Cash Equivalents
-------------------------

The Partnership considers all highly liquid investments with original maturities
of three months or less when purchased to be cash  equivalents.  As of March 31,
2007 and 2006, the Partnership had no cash equivalents.

Concentration of Credit Risk
----------------------------

During certain parts of the years ended March 31, 2007 and 2006, the Partnership
maintained  cash balances at a certain  financial  institution  in excess of the
federally  insured  maximum.  The Partnership  believes it is not exposed to any
significant financial risk on cash.

Net Loss per Partnership Unit
-----------------------------

Net loss per Partnership  Unit is calculated  pursuant to Statement of Financial
Accounting Standards No. 128,

Earnings per Share.  Net loss per  Partnership  Unit includes no dilution and is
computed by dividing loss available to Limited  Partners by the weighted average
number of  Partnership  Units  outstanding  during the  period.  Calculation  of
diluted net loss per Partnership Unit is not required.

Income Taxes
------------

No provision  for income taxes has been recorded in the  accompanying  financial
statements  as any  liabilities  and or benefits  for income  taxes flows to the
partners of the  Partnership  and are their  obligations  and/or  benefits.  For
income tax purposes, the Partnership reports on a calendar year basis.

Revenue Recognition
-------------------

The  Partnership  is entitled to receive  reporting  fees from the Local Limited
Partnerships.  The  intent  of  the  reporting  fees  is  to  offset  (in  part)
administrative costs incurred by the Partnership in corresponding with the Local
Limited  Partnerships.  Due to the  uncertainty of the collection of these fees,
the Partnership recognizes reporting fees as collections are made.

NOTE 2 - INVESTMENTS IN LOCAL LIMITED PARTNERSHIPS
--------------------------------------------------

As of the periods  presented,  the Partnership has acquired limited  partnership
interests  in 15  Local  Limited  Partnerships  each of which  owns one  Housing

                                       32
<PAGE>

                  WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 2 - INVESTMENTS IN LOCAL LIMITED PARTNERSHIPS, continued
-------------------------------------------------------------

Complex  consisting of an aggregate of 786 apartment units. The respective Local
General  Partners  of the  Local  Limited  Partnerships  manage  the  day-to-day
operations  of the entities.  Significant  Local  Limited  Partnership  business
decisions require approval from the Partnership.  The Partnership,  as a limited
partner,  is  generally  entitled  to 99%,  as  specified  in the Local  Limited
Partnership agreements,  of the operating profits and losses, taxable income and
losses and Low Income Housing Tax Credits of the Local Limited Partnerships.

The  Partnership's  investments  in Local Limited  Partnerships  as shown in the
balance  sheets  at March 31,  2007 and 2006 are  approximately  $5,240,000  and
$4,152,000, respectively, greater than the Partnership's equity at the preceding
December  31 as shown in the  Local  Limited  Partnerships'  combined  financial
statements  presented  below.  This  difference  is primarily  due to unrecorded
losses, acquisition, selection and other costs related to the acquisition of the
investments which have been capitalized in the Partnership's  investment account
along with impairment losses recorded in the Partnership's  investment  account.
The  Partnership's  investment  is also lower than the  Partnership's  equity as
shown in the Local Limited  Partnership's  combined financial  statements due to
the  estimated  losses  recorded by the  Partnership  for the three month period
ended March 31.

A loss in value from a Local Limited  Partnership other than a temporary decline
would be recorded as an impairment loss. Impairment is measured by comparing the
investment  carrying  amount to the sum of the total amount of the remaining Low
Income  Housing Tax  Credits  allocated  to the  Partnership  and the  estimated
residual  value of the  investment.  Accordingly,  the  Partnership  recorded an
impairment  loss of $0, $0, and  $1,054,476,  during the years  ended  March 31,
2007, 2006 and 2005, respectively.

The Partnership  advanced $0 and $33,303 to one Local Limited Partnership during
the years ended March 31, 2007 and 2006, respectively.  These advances were used
to fund certain reserve accounts.  The Partnership determined the recoverability
of these advances to be doubtful and,  accordingly,  has reserved the $33,303 as
of March 31, 2007 and 2006.

At March 31, 2007 the investment  accounts in all of Local Limited  Partnerships
have reached a zero balance.  Consequently, all of the Partnership's estimate of
its share of losses for the years ended March 31, 2007, 2006 and 2005, amounting
to approximately  $1,084,000,  $1,061,000 and $902,000,  respectively,  have not
been  recognized.  As of March 31,  2007, the aggregate  share of net losses not
recognized by the Partnership amounted to $7,070,000.

Following is a summary of the equity method activity of the investments in Local
Limited Partnerships for the periods presented:
<TABLE>
<CAPTION>
                                                                                     For the Years Ended
                                                                                           March 31,
                                                              -------------------------------------------------------------------
                                                                       2007                   2006                     2005
                                                              -----------------     --------------------     --------------------
<S>                                                         <C>                   <C>                      <C>
Investments per balance sheet, beginning of period           $                -    $              86,215    $           1,546,722
Distributions received from Local Limited Partnerships                        -                        -                   (3,100)
Equity in losses of Local Limited Partnerships                                -                  (86,213)                (386,175)
Impairment loss                                                               -                        -               (1,054,476)
Amortization of capitalized acquisition fees and costs                        -                       (2)                 (16,756)
                                                              -----------------     --------------------     --------------------
Investments per balance sheet, end of period                 $                -    $                   -    $              86,215
                                                              =================     ====================     ====================
</TABLE>
                                       33
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 2 - INVESTMENTS IN LOCAL LIMITED PARTNERSHIPS, continued
-------------------------------------------------------------

The financial  information from the individual financial statements of the Local
Limited Partnerships include rental and interest subsidies. Rental subsidies are
included in total revenues and interest  subsidies are generally  netted against
interest expense.  Approximate combined condensed financial information from the
individual financial statements of the Local Limited Partnerships as of December
31 and for the years then ended is as follows:

                        COMBINED CONDENSED BALANCE SHEETS
<TABLE>
<CAPTION>
                                                                                            2006                      2005
                                                                                     --------------------     ----------------------
ASSETS
<S>                                                                               <C>                       <C>
Buildings and improvements, net of accumulated
   depreciation for 2006 and 2005 of $17,874,000 and
   $16,619,000, respectively.                                                       $          22,296,000    $           23,508,000
Land                                                                                            2,465,000                 2,465,000
Other assets                                                                                    3,466,000                 3,290,000
                                                                                     --------------------     ----------------------
  Total Assets                                                                      $          28,227,000    $           29,263,000
                                                                                     ====================     ======================
LIABILITIES

Mortgage loans payable                                                              $          28,084,000    $           27,670,000
Due to related parties                                                                          1,123,000                 1,137,000
Other liabilities                                                                               4,658,000                 4,858,000
                                                                                     --------------------     ----------------------
      Total Liabilities                                                                        33,865,000                33,665,000
                                                                                     --------------------     ----------------------

PARTNERS' DEFICIT

WNC California Housing Tax Credits II, L.P.                                                   (5,240,0000)               (4,152,000)
Other partners                                                                                   (398,000)                 (250,000)
                                                                                     --------------------     ----------------------
          Total Partners'Deficit                                                               (5,638,000)               (4,402,000)
                                                                                     --------------------     ----------------------
                Total Liabilities and Partners' Deficit                             $          28,227,000    $           29,263,000
                                                                                     ====================     ======================
</TABLE>
                                       34
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 2 - INVESTMENTS IN LOCAL LIMITED PARTNERSHIPS, continued
-------------------------------------------------------------

                   COMBINED CONDENSED STATEMENTS OF OPERATIONS
<TABLE>
<CAPTION>

                                                                   2006                      2005                      2004
                                                            --------------------      --------------------      --------------------
<S>                                                      <C>                        <C>                       <C>
Revenues                                                   $          4,050,000      $          4,000,000      $          3,969,000
                                                            --------------------      --------------------      --------------------
Expenses:
  Operating expenses                                                  3,123,000                 3,087,000                 3,066,000
  Interest expense                                                      839,000                   850,000                   873,000
  Depreciation and amortization                                       1,303,000                 1,281,000                 1,285,000
                                                            --------------------      --------------------      --------------------
   Total expenses                                                     5,265,000                 5,218,000                 5,224,000
                                                            --------------------      --------------------      --------------------
Net loss                                                  $          (1,215,000)     $         (1,218,000)     $         (1,255,000)
                                                            ====================      ====================      ====================
Net loss allocable to the Partnership                     $          (1,084,000)     $         (1,152,000)     $         (1,215,000)
                                                            ====================      ====================      ====================
Net loss recorded by the Partnership                      $                   -      $            (86,000)     $           (386,000)
                                                            ====================      ====================      ====================
</TABLE>
Certain Local Limited  Partnerships  have incurred  operating losses and/or have
working  capital  deficiencies.  In the event these Local  Limited  Partnerships
continue to incur significant operating losses, additional capital contributions
by the  Partnership  and/or the Local General Partner may be required to sustain
the  operations  of such  Local  Limited  Partnerships.  If  additional  capital
contributions are not made when they are required, the Partnership's  investment
in certain of such Local Limited  Partnerships  could be impaired,  and the loss
and recapture of the related Low Income Housing Tax Credits could occur.

The report of the independent  certified public  accountants with respect to the
financial  statements of one Local  Limited  Partnership  expressed  substantial
doubt as to the Local  Limited  Partnerships'  ability  to  continue  as a going
concern.  The  Partnership  had no remaining  investment  in such Local  Limited
Partnership at March 31, 2007 and 2006. The Partnership's original investment in
the Local Limited  Partnership  approximated  $1,278,000.  Through  December 31,
2006, the Local Limited Partnership has had recurring losses and working capital
deficiencies.  In the  event  the  Local  Limited  Partnership  is  required  to
liquidate or sell its property,  the net proceeds  could be  significantly  less
than the carrying  value of such  property.  Additionally,  the recapture of the
related Low Income Housing Tax Credits could occur.  As of December 31, 2006 and
2005,  the net carrying  value of such  property on the books and records of the
Local Limited  Partnership  totaled  $1,713,000  and  $1,677,000,  respectively.
Further ay December 31, 2006 and 2005,  the  liabilities on the books and record
of  the  Local  Limited   Partnership   totaled   $2,993,000  and  $  2,962,000,
respectively.

                                       35
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 3 - RELATED PARTY TRANSACTIONS
-----------------------------------

Under the terms of the  Partnership  Agreement,  the  Partnership has paid or is
obligated to the General Partner or its affiliates for the following items:

     Acquisition  fees  equal  to 9% of the  gross  proceeds  from  the  sale of
     Partnership  Units as compensation for services rendered in connection with
     the  acquisition of Local Limited  Partnerships.  At the end of all periods
     presented,   the  Partnership  incurred  acquisition  fees  of  $1,595,340.
     Accumulated  amortization of these capitalized costs was $1,595,340 for all
     periods presented.

     Reimbursement  of costs incurred by an affiliate of the General  Partner in
     connection  with the  acquisition  of  Local  Limited  Partnerships.  These
     reimbursements have not exceeded 1.7% of the gross proceeds.  As of the end
     of all periods  presented,  the Partnership  incurred  acquisition costs of
     $1,520 which have been  included in  investments  in limited  partnerships.
     Accumulated amortization was insignificant for the periods presented.

     An annual  management fee equal to 0.5% of the invested assets of the Local
     Limited  Partnerships,  including the Partnership's  allocable share of the
     mortgages,  for the life of the  Partnership.  Management  fees of $210,084
     were incurred during each of the years ended March 31, 2007, 2006 and 2005;
     of which  $14,376,  $23,440  and  $18,750  were paid during the years ended
     March 31, 2007, 2006, and 2005, respectively.

     The  Partnership  reimbursed  the  General  Partner or its  affiliates  for
     operating  expenses incurred by the Partnership and paid for by the General
     Partners or its affiliates on behalf of the Partnership.  Operating expense
     reimbursements was approximately $30,000,  $28,100 and $24,400,  during the
     years ended March 31, 2007, 2006, and 2005, respectively.

     A subordinated  disposition fee in an amount equal to 1% of the sales price
     of  real  estate  sold.  Payment  of this  fee to the  General  Partner  is
     subordinated to the limited  partners who receive a 6% preferred return (as
     defined in the  Partnership  Agreement)  and is payable only if the General
     Partner or its affiliates  render services in the sales effort. No such fee
     was incurred for the three year period ended March 31, 2007.

     An affiliate of the General Partner provides property  management  services
     for two of the Local Limited Partnerships.  Management fees paid by the two
     Local Limited  Partnership's to an affiliate  amounted to $26,503,  $27,011
     and  $30,161  for  the  years  ended  March  31,   2007,   2006  and  2005,
     respectively.

The accrued fees and expenses due to General  Partner and affiliates  consist of
the following:
<TABLE>
<CAPTION>
                                                                                                           March 31,
                                                                                          ------------------------------------------
                                                                                                  2007                   2006
                                                                                          -------------------     ------------------
<S>                                                                                     <C>                     <C>
Expenses paid by the General Partner
  or an affiliate on behalf of the Partnership                                           $              3,784    $            11,454
Accrued asset management fees                                                                       2,568,924              2,373,216
                                                                                          -------------------     ------------------
                                                                                         $          2,572,708    $         2,384,670
                                                                                          ===================     ==================
</TABLE>
                                       36
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 3 - RELATED PARTY TRANSACTIONS, continued
----------------------------------------------

The General  Partner and/or its affiliates do not anticipate  that these accrued
fees will be paid in full until such time as capital  reserves  are in excess of
the future foreseeable working capital requirements of the Partnership.

NOTE 4 - QUARTERLY RESULTS OF OPERATIONS (UNAUDITED)
----------------------------------------------------

The following is a summary of the quarterly operations for the years ended March
31:
<TABLE>
<CAPTION>
                                                  June 30              September 30             December 31            March 31
                                            --------------------   ---------------------    --------------------    ----------------
<S>                                     <C>                      <C>                   <C>                       <C>
                    2007
                    ----
Income                                   $                   -    $          17,000     $               2,000     $               -

Operating expenses                                     (53,000)             (69,000)                  (55,000)              (56,000)

Equity in losses of Local Limited
     Partnerships                                            -                    -                         -                     -

Net Loss                                               (53,000)             (52,000)                  (53,000)              (56,000)

Net Loss available to Limited Partners                 (52,000)             (52,000)                  (52,000)              (56,000)

Net Loss per Partnership Unit                               (3)                  (3)                       (3)                   (3)

                    2006
                    ----
Income                                   $               4,000    $           8,000     $                   -     $               -

Operating expenses                                     (55,000)             (66,000)                  (99,000)              (57,000)

Equity in losses of Local Limited
     Partnerships                                      (49,000)             (37,000)                        -                     -

Net Loss                                              (100,000)             (95,000)                  (99,000)              (57,000)

Net Loss available to Limited Partners                 (99,000)             (94,000)                  (98,000)              (56,000)

Net Loss per Partnership Unit                               (6)                  (5)                       (6)                   (3)
</TABLE>
                                       37
<PAGE>
                   WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For the Years Ended March 31, 2007, 2006 and 2005

NOTE 5 - SUBSEQUENT EVENT
-------------------------

The  Partnership  has  identified  the Housing  Complexes  of one Local  Limited
Partnership,  Ukiah Terrace,  a California  limited  partnership,  ("Ukiah") for
disposition.  Ukiah owns the Ukiah  Terrace  Apartments  (the "Ukiah  Property")
located in Ukiah,  California.  Consistent with the investment objectives of the
Partnership,  the Ukiah  Property  qualified for Federal low income  housing tax
credits under the Internal Revenue Code for a 10-year period.  The credit period
has expired,  and no further  credits are being generated by the Ukiah Property.
The 15-year Federal  compliance period has also expired as of December 31, 2006,
so there would be no credit recapture upon a transfer of the Ukiah Property.

On June 7, June 14 and July 9, 2007, the Partnership filed  preliminary  consent
solicitation materials with the Securities and Exchange Commission regarding the
sale of the Ukiah  Property.  Definitive  materials have not been filed with the
SEC or disseminated to the Partnership's Limited Partners.

                                       38
<PAGE>


                                   SIGNATURES

Pursuant to the  requirements of Section 13 or 15(d) of the Securities  Exchange
Act of 1934,  the  registrant  has duly  caused  this report to be signed on its
behalf by the undersigned, thereunto duly authorized.

WNC CALIFORNIA HOUSING TAX CREDITS II, L.P.

By:      WNC & Associates, Inc.,
         General Partner




By:      /s/ Wilfred N. Cooper, Jr.
         --------------------------
         Wilfred N. Cooper, Jr.,
         President of WNC & Associates, Inc.

Date:  September 14, 2007


Pursuant to the requirements of the Securities Exchange Act of 1934, this report
has been signed below by the following  persons on behalf of the  registrant and
in the capacities and on the dates indicated.




By:      /s/ Wilfred N. Cooper, Jr.
         --------------------------
         Wilfred N. Cooper, Jr.,
         Chief Executive Officer, President and Director of    WNC & Associates,
         Inc. (Chief executive officer)

Date:  September 14, 2007




By:      /s/ Thomas J. Riha
         ------------------
         Thomas J. Riha,
         Senior Vice-President - Chief Financial Officer of WNC & Associates,
         Inc. (Chief financial officer and principal accounting officer)

Date:  September 14, 2007




By:      /s/ Wilfred N. Cooper, Sr.
         --------------------------
         Wilfred N. Cooper, Sr.,
         Chairman of the Board of WNC & Associates, Inc.

Date:  September 14, 2007




By:      /s/ Kay L. Cooper
         -----------------
         Kay L. Cooper,
         Director of WNC & Associates, Inc.

Date: September 14, 2007

                                       55
<PAGE>