What causes TTax to require completion of form 1116 for a trust return (form 1041) when I didn't report foreign taxes paid?

[ThomasM125]

That would normally happen when you have a carryover of unused foreign tax credit from the previous year. If you don't have that and no foreign taxes paid in the current year, you can go to the forms mode and delete the form 1116 in your program.

[whanig]

Where would I find a carry over of a foreign tax credit in the 2021 return? There was no foreign tax paid for 2022. Huge thanks for your help!

[ThomasM125 · Accepted solution]

You need to find Schedule B of Form 1116, Foreign Tax Credit. The carryover amounts by year are listed on line 8. You will be asked to enter them by year when you go through the foreign tax credit section you mention or they may already be populated. If the carryover amounts are populated, you may still need to answer some questions.

Here is a link to Schedule B of form 1116, so you can see what it looks like:  Form 1116 schedule B