lol I know many ethnic small/medium businesses that purposely underpay California state tax.
Underpaying CA taxes is the way of life in the Jewelry District in Downtown Los Angeles..... force those Korean, Armenian, Iranian and Jewish to pay CA taxes in full and they will go belly up.
PS: Like I said, underpaying CA taxes is the way of life. I used to work in one of the LARGEST (ethnic-owned) wholesale jewelry in downtown L.A. while I was still in high school. I know it because of my co-worker... he's a CPA accountant! They pay him 6 figures to bean count and... of course... dodge the CA tax.
(of course I will NOT disclose the name of the company...
)