Yes, it's taxable income. But, it gets special treatment. See https://ttlc.intuit.com/questions/2678884-explain-tp-inmate-earnings
In TurboTax (TT), after entering your W-2, you will reach a screen titled " Do any of these uncommon situations apply to this W-2?" Check the "Inmate or halfway house" box.
Later, at the EIC screen, you will be asked to check the same box. Then TT will handle to entry on the forms.
