For the case where you did not have an Indiana employer as of the first of the year and you selected one of the OUT-OF-STATE options for your county of employment, you should NOT enter any Indiana income in the next screen.
Leaving the Indiana income blank will eliminate the e-file error and allow you to get a refund of the Indiana state income tax that was withheld.
If you did have an Indiana employer the first of the year and you selected an Indiana county where you worked, then the county tax is calculated and reported correctly on Form IT40-RNR.
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