Yes, as I have stated before, when you compute net income from Schedule C and Schedule F to determine your self-employment tax, it's necessary to exclude the net income because it's excludable foreign income.
Think of it in the following manner. If you have already excluded the foreign income using FEIE, why would you add it back in again to be taxable? It doesn't make sense.
Remember, you are only preparing a Schedule C and Schedule F in Turbo Tax strictly to determine Self-employment tax. Then you back out the net income from both Schedules and as a result, only the self-employment tax remains and the income is excluded.
Your FEIE section doesn't calculate self-employment tax. This is why you need to prepare both Schedule C and Schedule F to calculate the tax and then remove the net income in the way I prescribed.
@kruthika
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