- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Retirement tax questions
You wouldn't report the foreign taxes while entering the pension income on the Form 1099-R entry. You can take a deduction or a credit for foreign taxes paid. The credit is usually better but it is limited to the amount of US tax you pay on your foreign income each year. Any unused credit can be carried over to the next year.
Choose the Foreign Taxes option under Estimates and Other Taxes Paid, in the Deductions and Credits section of TurboTax:
Indicate that you need to complete Form 1116 when asked. It's usually better to take the foreign "Credit" option over the "Deduction." Choose the countries you paid the taxes to.
Indicate that you have already entered your 1099/K-1 forms with foreign taxes paid. Choose the passive income option . Assign a country for your income and report the foreign income amount and foreign taxes paid when requested.
**Mark the post that answers your question by clicking on "Mark as Best Answer"