There is nothing that needs to be corrected. As I suggested in my earlier comment, TurboTax is using the standard deduction instead of itemized deductions because your standard deduction is higher than your total itemized deductions. The $26,200 amount on Form 1040 line 8 is your standard deduction (for married filing jointly, with both spouses 65 or older). This is higher than your total itemized deductions of $17,055 on Schedule A line 17. So you use the standard deduction instead of the itemized deductions because it is higher.
