Yes, if you have tried to receive a foreign tax credit and if your refund/tax due didn't change, you may not been able to take advantage of the credit this year but there may be a foreign tax credit carry forward to the next year. A foreign tax credit is a non-refundable credit that helps reduce your tax liability to zero. If the foreign taxes exceed the tax liability for the year, the excess will carry forward for ten years, unless used up before then.
Also something to consider is that you can either take the deduction or a credit. You have a choice when you began working in that section of the foreign tax paid. Taken as a deduction, foreign income taxes reduce your U.S. taxable income. Deduct foreign taxes on Schedule A (Form 1040), Itemized Deductions
Taken as a credit, foreign income taxes reduce your U.S. tax liability. In most cases, it is to your advantage to take foreign income taxes as a tax credit.
You may choose to take the Foreign income Exclusion if your spouse was a US Citizen or Resident Alien in 2021, and meets the Physical Presence Test requirements.
- federal>income and expenses
- Less Common income>Foreign Earned Income and Exclusion.
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