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There is currently an issue with the home office entry procedure in TurboTax which the developers are in the process of rectifying.
Read through the thread below for a possible workaround.
Re: 2020 Home Office Depreciation Incorrect - How ... (intuit.com)
Thank you, I read through that, but they still don't have it fixed. The Post Offices are closed, so it won't allow me to get past this issue to file, nor can I print and mail it. It's too late to switch software now. TurboTax has really failed us on this bug. I'm using Self Employed and can't use the other versions. Not sure what to do now.
You can use the workaround suggested in that thread or wait for the developers to fix the issue.
I suppose the third option would be to forego the deduction (which is definitely not the optimal method).
I tried everything. There are two problems, one is the lack of the residential home office type, and the other is that the calculation is incorrect. I first tried the "actual expense" option, but the total it showed for the deduction was three times the amount of the previous year with nothing changing, and that would have been a red flag. I believe it was because it was claiming the entire property as 100% usage. So then I tried the choice to take the $600 easier home office deduction, and since it wouldn't use the missing field, it wouldn't allow me to efile. I thought if I could just take the lower deduction it wouldn't red flag that item, but printing and mailing was the option I was forced to take. The workaround method came in a LOT less than even the $600 deduction, making me owe a lot more tax. Ended up that I had to take the print and mail option with the $600 deduction, ending up costing me over $750 more taxes than if I could have used my actual expenses, and if we could have chosen residential. Both items need to be fixed!!!
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