A positive test result is certainly evidence for a tumor, in that it makes the tumor more likely. But it is very unlikely for the woman to have one in the first place, so you need a lot of evidence to make it probable she has one. In other words, you need a lot of evidence to overcome that initial low prior probability. Perhaps it is easier to think about the odds form of Bayes' rule here. Namely,
$$
\underbrace{\frac{p(T' \mid \text{data})}{p(T \mid
\text{data})}}_{\text{Posterior
odds}}=\underbrace{\frac{p(T')}{p(T)}}_{\text{Prior
odds}} \times \,\,
\underbrace{\frac{p(\text{data} \mid T')}{p(\text{data} \mid
T)}}_{\text{Bayes factor BF}}
$$
You started with prior odds of .999/.001 in favor of no tumor, T'. The probability of a positive test given a tumor is .4, and the probability of a positive test given no tumor is .1, so you have a Bayes factor against no tumor of .1/.4. Now lets plug this back into the formula above,
$$
\underbrace{\frac{p(T' \mid \text{data})}{p(T \mid
\text{data})}}_{\text{Posterior
odds}}=\underbrace{\frac{.999}{.001}}_{\text{Prior
odds}} \times \,\,
\underbrace{\frac{.1}{.4}}_{\text{Bayes factor BF}} = \frac{.0999}{.0004}= \frac{249.75}{1}.
$$
Your positive test has considerably changed the odds: from 999 to 1 in favor of no tumor, down to ~250 to 1 in favor of no tumor. But that is still overwhelmingly in favor of no tumor. The probability of no tumor is 249.75/250.75 = .996. (Your math was correct)