Based on the discussion above with @ColeenD3 it seems that deduction does not apply for renting portion of you residence including room in your house.
That is correct. For some reason I wasn't keeping in mind that the rental was a portion of your residence.
Also, does TurboTax has a way to figure out excess losses and depreciation to be carried over to next year
Not sure how the program works in your case. But I do know that on my rentals my excess losses were carried over by the program up until a few years after I had paid off one of my rentals. It only took 2-3 years after the payoff year for me to "use up" all my carry over losses, and I've not had any since.
If you have any losses to be carried over say from 2020 to 2021, a form 8582 will be generated and the carry over loss for residential rental property will be shown as a negative number on line 1d of that form, and possibly on line 4 if you have nothing for 2 and 3.
