Thank you for providing your token numbers. I was able to examine each return and the conclusion is that TurboTax is calculating the Simplified Home Office deduction correctly in each situation. Let me give you some information about how the Simplified Home Office deduction works, and then I will address each token file individually.
For any home office deduction (actual expenses or simplified), the home office deduction is not allowed to take a Schedule C bottom line from a positive profit to a loss. Therefore, before the home office deduction is calculated, the tentative profit or loss of the business is considered. If the number is a loss, then no simplified home office deduction is allowed. However, even with a loss, an actual expense home office deduction can be calculated and carried over to the next year. Carryover is only possible when using the actual expenses, not the simplified method.
The profit/loss number that is used to decide whether the home office expense is allowed comes from Schedule C line 7 minus Schedule C line 28. If the result is positive, then that is the first step to get the simplified home office deduction.
However, the Business Conducted in the Home Office comes into play too. If that number is not entered, then it is assumed to be zero. Zero times the income on Schedule C line 7 minus Schedule C line 28 gives a negative number, which means no home office deduction in the current year (carryover if using actual expense method).
If the Business Conducted in the Home Office percentage is any number less than 100%, then the amount on Schedule C line 7 is adjusted by that percentage before the expenses are subtracted. So even with what you expect to be a positive profit situation, the percentage of business conducted in the home office can drop the income to a level where the profit is negative instead of positive. This means that the simplified home office method is not allowed. Again, using the actual expense method can work, but the home office expense is carried over to a future year.
For each token file, there was a different situation giving you unexpected, but correct, results.
Token 1269905 -- using the simplified method is disallowed because the business is showing a loss. Actual office expenses method could be used and carried over.
Token 193514536484684-19499644 -- There was not a percent of business conducted in the home office entered into the return. After this number is entered, then you can choose the method that gives you the best result. You are most likely going to see a larger impact from the actual expense method instead of the simplified method.
Token 1269861 - This is a case of having a positive profit situation until the percent of business conducted in the home office is factored in. Reducing the income by the percent of business use made it a loss situation with respect to the home office. Therefore no home office expense is allowed with the simplified method, but the actual expense method could be entered and carried forward.
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