DawnC
Expert Alumni

After you file

The business use percentage is not the same as the 6.1% in your screenshot above.   The 6.1% is the size of your office compared to the entire home (Line 7 of Form 8829).   TurboTax uses that to determine how much of your home related expenses you can deduct.    This figure has nothing to do with how much of your gross income is eligible to be included on Line 8 of Form 8829.   

 

The business use percentage is what percentage of your $6,536 gross income was earned in that office.  If you do not manually enter the percentage on Line B of the Line 8 Calculation Smart Worksheet, the business use percentage will be zero.   So, zero percent of your $6,536 is eligible for the deduction.    None of your gross income will transfer over if the business use percentage is set to zero.

 

See example below - Once you update Line B, your deduction will be allowed.   

 

  

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