To PGH re post: Does it make sense to just select deduction versus credit to avoid the 1116 form since I just have only 311 in foreign tax paid ( and not too much carry forward from previous years) to avoid sending paper file and waiting for march 31?
That depends. Taking it as a deduction may reduce your taxes, but by a smaller amount than $311 because it reduces your income before the tax on your income is calculated. Taking it as a credit will definitely reduce your taxes by $311 because it is subtracted from the tax due after the tax is calculated.
