@Lyssa5895 -
Q. Should I not have to pay the income tax to ohio because of the reciprocal agreement?
A. Yes. If you have already made payment, you will have to file an amended return to get it all back. You can amend as soon as the check clears the bank. If you have not made payment, you will probably still have to file an amended return. But, you might try calling ODT first, to see if there's a simpler way to "undo" your filing.
You should not have filed an OH return. In the personal info section, when it asks if you made money in another state, answer NO, per the reciprocal state instructions, on that page. This will prevent TurboTax from thinking you need to file an OH return.
Ohio has a reciprocal agreement, on wages, with all neighboring states. No Ohio state taxes are withheld or due and you do not need to file an OH return. However the reciprocity agreement does not apply to local city taxes. You are not required to file a local city return, but you are also not entitled to a refund of the city withholding (box19 on your W-2), unless there was an error in the amount. You can use the city taxes paid in OH to offset the local municipal taxes that will be due on your local PA return, if you are subject to one.
