Indeed, the instructions ( https://www.irs.gov/instructions/i8801 ) for form 8801 say the following for Line 2:
"Enter on this line the adjustments and preferences treated as exclusion items. Exclusion items are only the following AMT adjustments and preferences: certain itemized deductions (including any investment interest expense reported on Schedule E), certain tax-exempt interest, depletion, the section 1202 exclusion, the standard deduction, and any other adjustments related to exclusion items. If you didn’t file a Schedule A in 2018, include your 2018 standard deduction. Combine lines 2a, 2b, 2c, 2d, 2g, and 2h of your 2018 Form 6251. Don't include any amount from line 2j of the 2018 Form 6251. Instead, include the exclusion item amount from the Schedule(s) K-1 (Form 1041) you received for 2018. That amount is shown in box 12 with code J. If you included on line 3 of the 2018 Form 6251 any adjustments related to exclusion items, also include those adjustments in the amount you enter on line 2. Enter the total on line 2."
This is why I think the Standard Deduction fits my scenario. Still, it would be nice if TurboTax fixed this bug in their documentation.
