My intuition is that a directed graph such that each node can have at most one "incoming edge" (edge which is pointed to the node), can only have at most 1 cycle.
I've tried constructing a few by hand:
Is my intuition correct? Is there a formal proof for this? In this specific setup, is there a method for determining where the cycle is, and removing one edge so the graph becomes a DAG (directed acyclic graph)?

There exist directed graphs such that each node has at most one incoming degree and has more than 1 directed cycle. Take a graph that consists of two or more disjoint directed cycles. But you can say for sure that two distinct cycles won't share any common vertex. Take any two cycles $C_1,C_2$ that share a common vertex $v$. Let $C_1= \{v_1,v_2,..., v_n,v\}$ and $C_2= \{u_1,u_2,..., u_m,v\}$. Since $v$ has indegree at most 1, $v_n=u_m$. Similarly, we can say that $v_{n-1}=u_{m-1}$ as $v_n=u_m$ has indegree at most 1. If we do this repeatedly, we will get $l=m$ and $C_1=C_2$.