KarenJ2
Expert Alumni

Investors & landlords

You will need to  enter your foreign rental income in the foreign tax credit section of TurboTax.  You will need to enter your gross rental income and then the expenses as Definitely related expenses.

 

To report your foreign taxes paid on foreign rental income

  1. Click on Deductions & Credits 

  2. Scroll down to Estimates and Other Taxes Paid 

  3. Scroll down to Foreign Taxes 

  4. Click 'Yes" you paid foreign taxes 

  5. Click through the screens regarding foreign interest and dividends 

  6. Click yes that you have reported all your foreign income already in TurboTax 

  7. Click that you want to take a credit 

  8. Answer question about the Simplified Limitation Election 

  9. Choose income type for rental income it will be passive income

  10. Add your foreign country as the country 

  11. Enter description -  Foreign renta

  12. Enter Income amount that you previously reported in TurboTax- Enter gross rental income 

  13. Enter rental expense totals as Definitely Related Expenses 
     

  14. Enter your taxes you paid on your foreign rental in the box Foreign Taxes on Rents and Royalties

  15. Continue through ALL the foreign tax credit screens until done. 
     

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