Client was a nonresident of California for all of 2021 but W-2 shows CA wages with applicable withholdings.
It's my understanding (maybe incorrectly?) that independent contractors are taxed on CA "source income" if they deliver services within CA even if their business location is out of CA. But I thought this was different for employees. Employee entirely out of state = no CA income.
However I can't find any way of apportioning a nonresidents W-2 on the CA NonResident return. And I can't find anything definitive in the instructions.
Am I missing a rule?
Thanks!