RWG652
New Member

Deductions & credits

Ok, I also made a mistake. 

 

To calculate the amount of Foreign Tax Carryover for form 1116:

Total Foreign Tax Paid (Line 9) - Maximum amount (i.e. limit) of credit (Line 21)

 

Look at IRS publication 514 Carryback and Carryover.  You must keep a running calculation of prior years and publication 514 has a couple good examples.  

 

Another good example is here:

https://www.greenbacktaxservices.com/blog/foreign-tax-credit-carryover/