What I believe is the issue, is that TT is doing a calculation for the number to be entered into line 1a of the Form 1116. The formula that TT uses does not seem to be consistent with the instructions for the form:
How to make adjustments. To adjust your foreign source
qualified dividends or capital gain distributions, multiply your
foreign source qualified dividends or capital gain distributions
in each separate category by 0.4054 if the foreign source
qualified dividends or capital gain distributions are taxed at a
rate of 15%, and by 0.5405 if they are taxed at a 20% rate.
Include the results on line 1a of the applicable Form 1116.
You adjust your foreign source qualified dividends or
capital gain distributions taxed at the 0% rate by not
including them on line 1a.
I chose to override the adjustment and did the math per the instructions. This got me the credit and all is well. Posting this for others who might have this issue.
