Hello
I tried this but it made no difference.
I had this problem when I bought my brand new very expensive Mac Book pro a few months ago, it came with Catalina and has been so full of issues, this being the most frustrating one!
I am a video and photo editor and so I cannot begin to describe the time and frustration this bug is causing me. I cannot upload files to clients, sites or transfers from my ext drive (WHERE EVERYTHING IS LOCATED). Everything has to first be dropped onto my desktop and then uploaded from there! The desktop which is now telling me that it is full, because it is not a normal desktop oh no, it is linked to iCloud and I don't know where the std old desktop option went!?
Another ploy from Mac I suppose to get you to upgrade the cloud space. Nice one. When did Mac stop making expensive but useful products and start making a monetised series of hurdles to force its consumers like rats into buying more unnecessary add ons and extras.
The simple work flow has been replaced by a barrage of headaches and owning this new Mac has been more of a hinderance than help!!