@santhoz , since you have already filed a corrected return to satisfy IRS rejection of the ITINs for the children, once you receive the ITIN you would need to file an amended return requesting the refund for dependent care.
In the meantime since you do have the ITIN for your wife, you should file the CA state return including your wife but leaving the children out ( because of NIL tax ID ) and then when you receive the ITINs for the children file an amended return ( using the amended Federal return as basis ).
These steps would bring you into compliance and resolved tax issues.
pk
