Ohio does a convoluted tax calculation for non-residents/part year residents. It calculates tax on total income, then it calculates a non resident/part year resident credit, which it subtracts from the tax it calculated on the total income. The credit is calculated as your non-Ohio income divided by Total adjusted Income multiplied by the total tax. TurboTax (TT) does this by allocating your income as either Ohio or non-Ohio. While in the state section of TurboTax, go to "Forms" then "Form ITNRC p2 PY/NR Income Allocation". This should show you a breakdown of what Income TT is letting Ohio Tax you on. If this doesn't agree with what you think it should be, you'll have to recheck your input screens. In particular check the W-2 screens. Ohio should only tax the amounts that you show in box 16 when you show OH in box 15. Make sure that your non-Ohio wages show TX in box 15 of your w-2 screen, with the TX amount in box 16. For other (non- wage) income, TT will ask you, item by item, in the state section, how much is Ohio or non-Ohio income. Do not enter anything in the box titled “Ohio Compensation”. That box is only for full year residents of reciprocal (neighboring) states.
