I replaced my home thermostat with a smart thermostat, should I include this under my home office deductions or under energy saving home improvement or both

[HelenaC · Accepted solution]

Smart thermostats are not eligible for the energy credit. See Can I claim energy-efficient appliances or energy-saving home improvements?

You may be able to claim it under your home office. Repairs are deducted, where as improvements are depreciated.

Per 2016 Publication 587 - IRS.gov page 9:  A permanent improvement increases the value of property, adds to its life, or gives it a new or different use. Examples of improvements are replacing electric wiring or plumbing, adding a new roof or addition, paneling, or remodeling. 

These are entered in the Deductions & Credits section:

• Open your return, if you don't already have it open.
• In TurboTax, search for energy improvements. (Do not search for "energy credit," as this will take you to the wrong place in the program.)
• Click the "Jump to" link in the search results.
• At the bottom of the Energy-Saving Home Improvements screen, answer Yes and continue. Follow the on-screen instructions.

Related Information:

• Why didn't I get the Home Energy Credit?
• Why is my Home Energy Credit being carried forward to to next year?