ToddL99
Expert Alumni

Deductions & credits

Enter the foreign tax you paid in the Foreign Taxes interview of TurboTax, found under Deductions and Credits > Estimates and Other Taxes paid.

 

You may qualify for either a tax credit or a deduction.

 

In most cases, taking the credit works out better than the deduction. We'll help you decide which one's best for you when you go through this section.

 

If you choose to take the credit (most people do), we'll attach Form 1116Foreign Tax Credit if your situation requires it.

 

The following TurboTax FAQs provide instructions on what taxes qualify for the Foreign Tax Credit (or Deduction) and  on how to access the interview.

 

What does or doesn't qualify for the Foreign Tax Credit?

 

Where do I enter the foreign tax credit (Form 1116) or deduction for 2020?