Thanks @SusanY1
Indeed, it took me awhile to figure out thats how to do things. I also noticed another possible bug, where it is impossible to choose to try to exclude just one person's income (mine, but not my wife's). Even though you can select just one persons name, in the background it proceeds like you had selected both - which makes it impossible to finish your taxes.
But in the end, I found that:
* It was more advantageous for me to take the foreign tax credit
* It is more advantageous for me to itemize my taxes, despite that I have virtually zero deductions, because it allowed me to use more of my foreign tax credit for some reason due to AMT.
I find the second bullet very counter intuitive - every year turbotax recommends to me that i should take the standard deduction, which always results in me paying $2-4k more in taxes (and leaving me with a larger foreign tax credit carryover). I always override that, and force it to itemize my deductions as cash in hand in more important than a larger foreign tax carryover that i will likely never be able to use.
I am in Switzerland...
