When you started the Free edition and started entering your tax data you had to come to a screen that told you that you needed to upgrade to continue the return. You had to agree to the upgrade.
Your post indicates that you are using the Deluxe online edition - $40. Adding a state tax return is an additional charge of $40. If you chose the optional pay with refund, the service charge for that option is $39.99.
You can remove the pay with refund fees and pay the TurboTax account fees with a credit/debit card using the procedure in this TurobTax support FAQ - https://ttlc.intuit.com/community/downgrading/help/how-do-i-remove-pay-with-my-refund-fees-in-turbot...
