@DaveF1006
Thank you!
Couple more questions on this, with the following background:
- 1099-DIV income is from RIC for form 1114
- 1099-INT income is from Country X for 1114
- Inherited House Sale (at a significant loss for US purposes) was in Country X too.
- In Turbotax, what should go on the "Description of Property" - 8949 Part II Line 1 (a) ?
- In Turbotax for Schedule A Line 6, should I put what you suggested earlier: "Foreign Income Taxes on income not creditable due to U.S. loss" or more country X specific language given that both the 1099-INT and inherited house sale were in the same country?
You are correct, country X withheld income taxes as a flat % of the inherited property sales price without ANY regard to cost basis (original or stepped up). That's the rule there.
Thanks!
