Since you are using Turbo Tax Home and Biz, I think i know why your AOTC credit is limited. Let me have you go to the forms mode in your return. Check line 16 in the 1040 and see if that is zero. If so your AOTC is limited to $1000.
There are two components to a AOTC. There is a non-refundable credit that has a limit of $1500. What this credit does is reduce the tax liability that is on line 16. If there is no tax liability listed, then you cannot take advantage of any part of the non-refundable amount.
You are eligible for the maximum refundable credit of $1000 even if you have no tax liability listed on line 16.
I imagine you owe taxes because the amount you owe is SE tax generated from your Schedule C since you are using the Home and Business version of Turbo Tax.
Have a great year and see you back next year, we hope.
@KarenHL
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