California crazy tax laws

[Mary Jay]

Hey guys,

I was wondering if you knew if that law has been accepted in California?

They were talking about accepting it last year and it was something about: "If you own a property or business in California, you will be taxed as a resident of California even if you dont live in California" 

So basically, even if we never lived in California but have a rental there, our W2 income would be taxed as if we were living in California

[Greg M.]

California taxes non-residents on the income earned in California. Therefore, any income from a business located in CA will be taxed regardless of where you live. As a non-resident, you're not taxed by CA on your income earned in other states just because you happen to also have a CA business.

Lots of states, but not all, have provisions in their tax code to prevent double taxation. So taxes you paid in CA can offset/eliminate taxes that would normally need to be paid in your state of residence.