I re-went through the questions and this time it gave me an adjustment for Form 1116, Line 1a, but I believe it is incorrect. I went to the Foreign Tax Computation Worksheet and compared it with the same worksheet from 2020. They were NOT calculated the same. I believe 2020's is correct and 2021's is incorrect. Are there instructions for this somewhere? After comparing the two, this is what I found:
Line 1c and f are correct for both years. 2021 is at $5670. This is the Total Foreign Income.
Line 1g is titled, "Ordinary Income" in both 2020 and 2021.
In 2020, Line 1g was the Nonqualified Dividends. In 2021, Line 1g is NOT the Nonqualified Dividends.
It was calculated by:
Qualified Dividends - (.4054 x Qualified Dividends) = $4371.31 - (0.4054 x $4371.31) = $2599.18.
In 2020, Line 1h are the Qualified Dividends. In 2021, Line h is NOT. It was calculated by:
Total Foreign Income of $5670 - $2599 from Line 1g = 3071.
For 2021, these two mistakes cause the final result to be incorrect.
How do I correct this?
