Get your taxes done using TurboTax

Yes you can report the income and then back it out with a negative number.  Here is how to report.

1. Log into your account
2. Select Wages and income>other income
3. Miscellaneous Income, 1099-A, 1099>start
4. Scroll to the bottom of the page to Other Reportable Income
5. Other taxable income, answer yes
6. Then give a brief description of the income and the amount listed.
7. After this entered, then in the screen that follows, select the button Add Another Miscellaneous income Item
8. Repeat steps 1-7. Here you will provide the Treaty and Article number and then report the income with a minus sign in front of the amount.

Now regarding the 8833, this doesn't need to be filed if the following exceptions apply.

1. The payee can claim a reduced rate of withholding tax under a treaty on interest, dividends, rent, royalties, or other fixed or determinable annual or periodic income ordinarily subject to the 30% rate.
2. The payee can claim a treaty exemption that reduces or modifies the taxation of income from dependent personal services, pensions, annuities, social security and other public pensions, or income of artists, athletes, students, trainees, or teachers. This includes taxable scholarship and fellowship grants.
3. The payee can claim a reduction or modification of taxation of income under an International Social Security Agreement or a Diplomatic or Consular Agreement.
4. The payee is a partner in a partnership, or a beneficiary of an estate or trust and the partnership, estate, or trust reports the required information on its return.
5. The payments or items of income that are otherwise required to be disclosed total no more than $10,000. 
6. For recent changes to the requirements for filing Form 8833, refer to the instructions attached to the Form 8833.

If the exceptions do not apply, the 8833 must be filed with the return. This means printing the form and mailing it with the tax return.

Claiming Tax Treaty Benefits

Form 8833 Instructions and PDF