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Get your taxes done using TurboTax
Yes, "resourced by Treaty " would be correct clasification.
In this case I am living in Belgium permanently, for more than 10 years. I always use Tax Credit - tried the other method a few time to check and results were always much worse than Tax Credit.
About interest taxation it's very simple. Let's say I have 10 000 USD US interest and dividends. Belgium taxes those at 30% (more than US in any case). So Treaty says that I only pay Belgian taxes and get credit for them on US tax return, as US taxes are lower.
In this case there is TurboTax bug, not generating second 1116 form, even though in questionaire it asks related questions correctly. I'm trying to find some ways to get around this TurboTax issue.
Maybe there is no way and I would need to use another application or do 2nd form manually, but then cannot e-file and it's a lot of calculations.
Thanks again.