Entering the 1099-MISC into TurboTax just enters the information from that form. If you want to enter the business expenses and other income associated with the 1099-MISC you need to scroll down to 'Business Items' in the 'Wages & Income' section of your federal return. The second line is 'Business Income and Expenses'. It will already have your 1099 income there and you'll be able to enter all of your other information.
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