@taxguy69420 , from your post I cannot determine exactly why your taxes went up on taking FEIE. However, here are a few areas that may explain :
Assuming that you had entered all the US income and saw your tax liability ( federal ) and then entered the foreign earned income and used form, 2555 to exclude all of it ( ?),
(a) note that the tax liability is computed now on world income ( i.e. including the excluded foreign income and then the taxes due to the excluded income is subtracted --- the computation that is used by TurboTax , IMHO, does put taxpayer at a slight dis-advantage though.
(b) unless you claim relief from SECA ( at 15.3% of most of net wages/ active earnings ) is still computed on Schedule-SE and included in the tax liability.
(c) there may also be disqualification of some credits based on world income, depending on exact circumstances and facts.
If this does not explain your issue with TurboTax ( in your particular case ), please consider providing some details of your situation.
Is there more I can do for you ?
I will circle back once I hear from you
pk
