AVR Freaks

That's gecause behind the scenes Arduino is already using TIMER0_OVF_vect for its own purposes and it already defines ISR(TIMER0_OVF_vect). It uses it for all the timing stuff like millis().

Suggest you pick a different timer.

By the way:

then looking at the code of wiring.c (which could be said to be the "core" file of Arduino) you find:

volatile unsigned long timer0_overflow_count = 0;
volatile unsigned long timer0_millis = 0;
static unsigned char timer0_fract = 0;

#if defined(TIM0_OVF_vect)
ISR(TIM0_OVF_vect)
#else
ISR(TIMER0_OVF_vect)
#endif
{
	// copy these to local variables so they can be stored in registers
	// (volatile variables must be read from memory on every access)
	unsigned long m = timer0_millis;
	unsigned char f = timer0_fract;

	m += MILLIS_INC;
	f += FRACT_INC;
	if (f >= FRACT_MAX) {
		f -= FRACT_MAX;
		m += 1;
	}

	timer0_fract = f;
	timer0_millis = m;
	timer0_overflow_count++;
}

unsigned long millis()
{
	unsigned long m;
	uint8_t oldSREG = SREG;

	// disable interrupts while we read timer0_millis or we might get an
	// inconsistent value (e.g. in the middle of a write to timer0_millis)
	cli();
	m = timer0_millis;
	SREG = oldSREG;

	return m;
}

which gives you a taste for how millis() is implemented using that interrupt. Above the code is:

// the prescaler is set so that timer0 ticks every 64 clock cycles, and the
// the overflow handler is called every 256 ticks.
#define MICROSECONDS_PER_TIMER0_OVERFLOW (clockCyclesToMicroseconds(64 * 256))

// the whole number of milliseconds per timer0 overflow
#define MILLIS_INC (MICROSECONDS_PER_TIMER0_OVERFLOW / 1000)

// the fractional number of milliseconds per timer0 overflow. we shift right
// by three to fit these numbers into a byte. (for the clock speeds we care
// about - 8 and 16 MHz - this doesn't lose precision.)
#define FRACT_INC ((MICROSECONDS_PER_TIMER0_OVERFLOW % 1000) >> 3)
#define FRACT_MAX (1000 >> 3)

So Arduino is already running the timer to interrupt every 64 clock cycles (actually that is a LOT of CPU over-head if it does it that frequently!!)