For a service business, the trend is towards market-based sourcing (where the customer is) rather than where the service is delivered from. Does this favor states that are highly populated or states that are lightly populated? If an individual service provider has withholdings made on her service receipts by a Company in a state that she is not a resident of what is likely the mitigating provision in her resident state? What is the result if the resident state has no income tax?