I don't think there's any doubt that the excess deductions are allowable. The i1041sk1 instruction is very clear on this. The Schedule A instruction only says "Miscellaneous" deductions are not allowed and excess deductions are not miscellaneous deductions. I agree with your assessment of how the IRS might react (the IRS will do what it's going to do) but if they do challenge it, I'd think a simple letter highlighting the i1041sk1 instruction will clarify things.
