Deductions & credits

Revisit the foreign tax credit interview.  When you get to the screen that asks for "Other Gross Income -Country", insert a zero, not the $170K.  That is because it states not to include income reported on form 2555.  Thus line 1a in the foreign tax credit worksheet will be zero and the $58K on line 1e will then appear on line 1a of form 1116.