@Mary805 wrote:
Thank you , what about as a W-2 employee ? I’ve done some reading where it states I can exempt from having taxes withheld and filling as a non resident and I won’t need to pay CA taxes . Is that accurate ?
I believe the rules are different for self-employed/independent contractors and W-2 employees. If you are a W-2 employee, you are taxed based on where you actually live or perform the work, not where your clients (actually, your employer's clients) are located. California can not tax you in this situation unless you live or travel to California to perform work for those clients. (For example, if you worked 13 weeks for those CA clients but only 2 weeks were on site in California, then 2/52ths of your annual income is taxable in California.
For self-employed/independent contractors, you are taxed based on the location of your clients or customers. Even if you never set foot in CA but some of your customers are located there, you must file a CA non-resident return and allocate your income and expenses accordingly.
@TomD8 can you confirm?
