Wow! This really did it. I can't believe I didn't find this solution anywhere else after a ton of searching.
By exemption I suppose you mean FTC (foreign tax credit)? I am not sure how you deselect it. The way I did it is I deselected the statement that says something to the effect of "I don't have previous years carryovers" (in the Foreign taxes interview). This generated the carryover worksheet. And after going through your steps it generated form 1116 and schedule B with the carryover for next year.
Thank you very much!
