ThomasM125
Expert Alumni

Deductions & credits

Yes, you can delete Form 2555 if you don't want to use your foreign earned income exclusion, provided you had not chosen that election in a prior year. If you took the foreign earned income exclusion previously, you must revoke that election before you can forgo it in favor of taking the foreign tax credit in the current year. You can see IRS Pub 54 for how to do this.

 

Your foreign income will then be taxable on your US return, but you may be entitled to a foreign tax credit to the extent of your US income tax on your foreign income. Any unused foreign tax credit can be carried back one year or forward up to ten years. 

 

You can read more here:  Choosing the FEI exclusion or FTC

 

Here is how to delete Form 2555 in TurboTax:

 

1. Choose the Tax Tools option on your left menu bar

2. Choose Tools

3. Choose the Delete a form option under Other Helpful links 

4. Find Form 2555 in the list of form and delete it

 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

View solution in original post