pk
Level 15
Level 15

Deductions & credits

@jezza95 , if the  taxes paid to France is based on  rental income ( and not just renting a place  or on square footage or some flat fee ) then it need to be treated as income tax i.e. it qualifies for   foreign tax credit / deduction.  You will then have to tel Turbotax that he rental income is foreign -- while filling form 1116 , it should ask you for the amount of foreign income.

If on the other hand  this is not based on rental income ( gross or otherwise ), then you should deduct it on Schedule-E as other taxes paid or property taxes paid , whichever is applicable.

 

A second point to note  is that you need to tell  TurboTax that the rental property is foreign so that depreciation is done   correctly  ( there is  a difference, depending on when you first started renting  for US tax purposes ).

 

A third point to note that , if this income is going through a local bank i.e. you  either own or have signature authority   over , you may be subject to FBAR  and/or FATCA rules.

 

Do you need more on this ?