If you are experiencing this issue, it is likely that you are not electing to not file Form 1116. In order to make that election you must click two check boxes. The two check boxes come up during the Foreign Taxes interview. They read as follow: "You have no more foreign taxes to enter other than those already entered on a 1099-DIC, 1099-INT, 1099-OID, or Schedule K-1" and "You have no foreign tax credit carryovers from earlier years, or you have carryovers and you agree NOT to use them this year." If you do not check these boxes TurboTax will ask you for the foreign source income and fill out Form 1116.
