@BB_0
Ignore the tax "meter" displayed in TurboTax. Look at the actual tax forms.
I have been assuming that you are working on a 2023 tax return. Is that correct?
So the negative other income does exactly offset the full amount of the 1099-MISC income. On Form 1040 your total income on line 9 and taxable income on line 15 do not increase. Even the tax on line 16 does not increase. The increase in the amount that you owe on line 37 is coming from somewhere else. There are two things we have to look at.
The amount on Form 1040 line 23 comes from Schedule 2. Which line (or lines) of Schedule 2 have increased or have new amounts? That should explain the increase in 1040 line 23. But we may have to try to figure out why entering the 1099-MISC causes the increased or new tax on Schedule 2.
Form 1040 line 23 increased by exactly $3,800, but line 37 increased by $3,974. So there's another $174 being added. Is there a $174 penalty on line 38? that gets added into line 37. It's a penalty for not having paid enough estimated tax during the year. That's probably a result of the additional $3,800 tax from Schedule 2.
There are two interspersed conversations going on here. When you reply to a post it would be help to reduce confusion if you say who you are replying to. The forum software does not indicate who you replied to (though it's usually clear from the context). If you type an @ sign you will get a pop-up list of the other participants and you can tag the appropriate person by selecting from the list.
