Can't turn off iCloud Photos sharing in iTunes for my iphone

I am having trouble with my iPhone storage every since I put all of my photos into iCloud. It is downloading photos to my phone and filling up all of the free space. I have switched off the iCloud Photo Library in my settings on my my phone. In iTunes on my computer it says that "iCloud Photos is On". I can't find away to turn it off in iTunes. I have done many things to try to fix this to no avail. I deleted manually all 23,000 photos in my photos on my phone, which then iTunes recognized as gone, but when I synced my phone using the latest iOS 8.3 today, it reloaded 2.9 GB of photos and listed them in my Useage on my phone settings and also in iTunes on my computer. However if I go to Photos or Camera, it says there are no photos or video. How can I change the settings in iTunes to turn off iCloud Photos is On? There is nothing else showing. Although in the past there was the capability of selected album, photos etc. but this is not showing now.

How can I delete the Photos data on my phone that is not showing up in Camera or Photos?