Deductions & credits

@stech 

Specific to your situation, it sounds like you can deduct all your interest and property taxes on schedule A plus the $1500 safe harbor, or you can deduct your mortgage interest and taxes partly on schedule A and partly on schedule C, and then deduct an additional $2000 as a business expense. The $1500 safe harbor deduction has no strings attached while the $2000 deduction has definite future strings attached.

 

You can read more about the simplified home office deduction here. TurboTax does include this option.

https://www.irs.gov/businesses/small-businesses-self-employed/simplified-option-for-home-office-dedu...