The answer presented describing using Dummy 1099 Div is not totally correct. What you have to do is take all the information for each stock or mutual fund reporting foreign tax out of the original 1099 according to qualified, non qualified , foreign tax and capital gains and create a separate 1099 Div for each stock or mutual fund, otherwise the required information is not properly transferred to the Foreign Tax Credit form. Why TurboTax doesn't tell you this in the instructions or provide a way of doing this within the software is beyond me. You have to search the web to find out how somebody found a workaround. The only other way to do it is to just use RIC and report all the foreign tax in one lump sum and hope they don't audit you. What does it matter what country the tax credit is for anyway? It doesnt change anything. I ending up buying Premier thinking it would surely deal with this but I wasted my money. Its the same in the cheaper versions. TurboTax must know this problem but ignores it. Not a very good program, and difficult to trust that it does things correctly.
