I put in my 1098 information and I can see my tax due decrease. My mortgage balance is just over $1M, but it was taken out in early 2017 before the TCJA reduced the limit down to $750k. In any case, I answered the supplemental questions so TurboTax can automatically adjust/reduce the interest eligible to be deducted (a nice improvement from 2020).

Then TurboTax says I might be qualify for a bigger deduction if the original loan was taken out before 12/15/17 and the balance hasn't increased due to a cash out refinance. This is true for me, so I answer Yes. Then TurboTax recalculates and zeroes out my mortgage interest deduction. (I can see that in the wrap up page when it says the standard deduction is best.)  That doesn't make any sense. If I click No, then I can see on the wrap up page that the appropriate amount of mortgage interest is used for my itemized deductions.

Has anyone else seen this?