If you work in Ohio and are a full-year resident of Indiana, you do not have to pay Ohio income tax on your W-2 wages. The two states have tax reciprocity. For tax purposes, your Ohio wages are considered Indiana income, and are fully taxable by Indiana. In TurboTax Personal Info, you would answer No to the question about earning income in another state. Tax reciprocity applies only to W-2 wages, not to other types of income.
However, if your employer mistakenly withheld Ohio state taxes from your pay, you'd have to file an Ohio non-resident tax return (showing zero Ohio income) in order to get those taxes refunded. And if that's what's happening, you should also file Ohio Form IT-4NR with your employer. Here's a link to that form: http://www.onu.edu/files/wth_it4nr.pdf0_.pdf
**Answers are correct to the best of my ability but do not constitute tax or legal advice.
