Every year I get an item that needs reviews on my federal taxes on Form 1116. It asks me for my “Adjusted basis of total investments” (4-b(1)c) and “Adjusted basis of investment assets generating foreign income” (4-b(1)b). I’ve never been confident in the answer I get from customer service. What information goes into these line items? Why doesn't TurboTax Premier ask for this information when I initially provide the data regarding my foreign tax credit?
Does it want to know my basis in the ETFs (where my foreign tax credit comes from) and my entire portfolio? This information would be laborious to calculate.
