What year did you have the loss? Didn't you get the 1600 loss on Schedule C that year? You probably already used it. Check your 1040 and Schedule C. It would offset your other income. Or what was the loss from?
Some expenses, such as home office or section 179 depreciation can only be used to reduce your schedule C taxable income to zero, and not to create a loss. Excess deductions for these carry over to the next year. And you have to answer yes to both questions about exclusive and regular use, not just one. The area of your home office must be used regularly and exclusively for business to deduct it.
