I have 15% taxes withheld by Canada on my Canadian Forces pension. In past years Turbo Tax treated Canadian Pensions as foreign income. Now it has a separate section for Canadian Pensions. However, for some reason, it no longer shows Canadian pensions, which make up almost half of my gross income, as Foreign income on form 1116. Therefore, it does not consider it as foreign income when it calculates the percentage of income which comes from Canadian sources. As a result, it excludes virtually all of the tax withheld by Canada from my tax credits. I don't think the tax laws have changed, so obviously something is wrong.
Am I doing something wrong or is there a way I can fix this.
