'The toilet paper is gone' is wrong. It implies someone has taken it away, or as someone else said, that it has left of its own accord! And the literal translation here 'empty of' doesn't really work either. I guess this is a more idiomatic expression that has to be learnt and not directly translated word for word.
Good point. Just a slight tweak though, and: "The toilet paper is all gone," is back closer to the meaning, I think. Interesting though that, as I wrote that, I had the sense that there is still a subtle passive accusation involved, as if the TP was used up by someone else. Does that track for anyone else?
'There is toom for toilet paper!' (toom = empty).
I can understand why this would be difficult to translate for any non native speaker of English. I'd find it odd but could make sense of the above literal cognate translation into English, so the Norwegian doesn't seem too odd.
When I said to my Yorkshire boss "There's a mickle tharf o' coffee" after we had ran out, he understood it without any problem.
Since the word "toilet paper roll holder" isn't in the sentence, I would simply say, "It is empty of toilet paper" or "That is empty of toilet paper." I don't know why these aren't accepted. There are many other Duolingo sentences that request a more literal translation and reject a more colloquial translation, but this one seems to be the opposite: it wants a colloquial translation, not a literal one.