DaveF1006
Expert Alumni

Deductions & credits

My suggestion is this. Instead of reporting this in the dividend section, report it here to bypass the FEIN requirement.

 

  1. Navigate to Federal > Wages & Income.
  2. Scroll down to Less Common Income and select Miscellaneous Income, 1099-A, 1099-C.
  3. Select Other reportable income (at the bottom of the list).
  4. Answer Yes to "Any Other Taxable Income?"
  5. Enter a description (e.g., "Foreign Dividends - [Bank Name]") and the amount in U.S. Dollars

If you are claiming a Foreign Tax credit report in the following manner. 

 

  1. Go to Deductions & Credits > Estimates and Other Taxes Paid. 
  2. Select Foreign Taxes and click Start.
  3. When asked "Do you want the deduction or the credit?", select Take a Credit.  
  4. As you navigate through the screen, Select Passive Category Income (this is the category for dividends and interest).
  5. Country Selection: Choose the specific country where the bank is located. if you aren't sure, pick RIC if from a mutual Fund or various. 
  6. Gross Income: Enter the same gross dividend amount you entered in Steps 1 when you get to this section
  7. Ignore the expenses and the other information listed in this section. 
  8. Taxes Paid/Accrued: Select Paid and enter the date (usually 12/31/2025 for the full year's total).

Simplified Limitation: If TurboTax asks if you want to use the "Simplified Limitation Election," say Yes—it saves you from complex math regarding "itemized deduction apportionments."

 

 

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