Election to not file Form 1116 is incorrect

If you input foreign income and taxes in the passive income category into TurboTax under Foreign Tax Credit because you don’t have a qualified payee statement such as a 1099-R, TurboTax elects not to file form 1116.
This is an error because the IRS requirement that “All the income and any foreign taxes paid on it were reported to you on a qualified payee statement” is not met, so you are required to file form 1116.

 

This needs to be fixed.