If you are a Resident of California, and report your Business Income on a Schedule C, that income is considered to be earned in California, since your Business Address is in California, and would be 'California source income'.
This does not include W-2 income, which states the source of the income.
Unless you actually went to another state to perform work there, all self-employment income is earned in your home state, no matter where you customers are located.
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https://ttlc.intuit.com/replies/3300312
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