Foreign taxes are eligible to be taken for Foreign Tax Credit (Form 1116) or as an itemized deduction. In most cases, taking the credit works out better than the deduction. TurboTax will help you decide which one is best for you when you go through the foreign tax screens.
- In your open Federal return, type "foreign tax credit form 1116" (without quotes) in the Search box in the upper right
- Click on the first link, Jump to foreign tax credit form 1116.
- Carefully follow the on-screen instructions
