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Hi @DaveF1006 ,

Thanks for taking time and sharing your answers. But I'm still unsure of few things so let me explain what I have done and what are the questions I still have. 

Since I'm a W2 employee I don't have any issues in that but my husband is self-employed and has business in India. He has always been living there and he still does too. For tax purpose I'm treating him as RA so we can do MFJ. 

My husband has two business income one from plastics manufacture & second is from farming. 

Question 1 - Can you deduct GST as expenses from business income & below expenses looks fine?

First I reported it in Self-employment income and expenses section as below. 

 In this I have questions about whether can I deduct the GST paid as Business expense or not? Based on the online information I have added it as Taxes & licenses expenses to deduct from the business income. Below I have provided screenshots to show how I'm doing it. 

Then for Farming, in India it is tax free so we don't bother about deducting expenses in Indian tax filing but in US even farm income is taxed so I'm deducting the expenses. I'm just attaching it below to verify if this is correct. 

Question 2 - How much to enter as FEIE & whether business expenses deductions to be provide in this section?

Next I went to the Foreign Earned Income and Exclusion section since he qualified for exclusion because of Bone fide presence test. My question is based on the above business income and expenses what should I enter in FEIE section as gross profit. 

Scenario 1: Based on your previous suggestion if I'm entering the full business income.
      1. Business Income - 4803 ( Plastics )
      2. Business Income - 923 ( Farming)

FEIE - 5726 

Scenario 2:  Based on the IRS pages & my understand [https://www.irs.gov/individuals/international-taxpayers/foreign-earned-income-exclusion-what-is-fore...]

     1. Business Income - 4803 ( Plastics )

          Expenses - 4322

          Net Income - 481
      2. Business Income - 923 ( Farming)

          Expenses - 650

          Net Income - 273

FEIE - 754 (Maybe wrong but I want to double check instead of filing it wrong)

Question 3 - Do I need to enter the business expenses in this page?

After this comes this deductions section in which turbo tax adds the self-employment 1/2 automatically apart from that do I need to add any other business expenses that I'm claiming in the self-employment section ? 

Looking forward to your guidance. Thanks in advance.