This happens a lot: I apply for a job and they ask for my complete address. Why? I would understand if they just want to know what city/town I'm in: That has bearing on how easily I can get to the office.
But why do they need to know my street address?
The only thing I can think: Indeed/LinkedIn/take-your-pick is building a profile of me based on this info, using my street as a proxy for my income, credit score, or, ultimately, for my social class.
From now on, when they ask me, I'm just going to put a rich person's address. For this one I used a Brooklyn townhouse where Maggie Gyllenhaal and one of the Saarsgaards lives.
They need to know the state you live in for legal reasons. Some states create hiring problems since they can open the company up to liability by simply having a single employee in that state. Other reasons include ensuring they can actually get you on payroll in that state - as they’ll need to pay into state unemployment on your behalf.
The full address is likely just some default option that’s selected without much actual thought.
It's not just state. There's ~11 cities in my state with income taxes.