You will need this information when figuring and entering your foreign tax credit amount into the software, as either a credit or a deduction. You may need to verify your 1099-DIV, 1099-INT, and 1099-B statements report similar foreign tax withholdings. From there, the input instructions:
To see when Form 1116 will become available in TurboTax, check form availability on this page.
Both the credit and the deduction are entered in the same place. Here's what you do:
- Enter all your foreign income in the Wages & Income section if you haven't already
- Navigate to the foreign tax credit section:
- TurboTax Online/Mobile: Go to the foreign tax credit screenunder Deductions & Creditsunder Deductions & Creditsunder Deductions & Credits
- TurboTax Desktop: Search for foreign tax credit and select the Jump to link or,
- Go to Federal Taxes.
- If asked, How do you want to enter your deductions and credits?, select I'll choose what I work on.
- Under Estimates and Other Taxes Paid, select Start or Update next to Foreign Taxes.
- When you reach the screen Do You Want the Deduction or the Credit? select the option you prefer for your situation
Further instructions for the credit or deduction options are found here: Where do I enter the foreign tax credit (Form 1116) or deduction?
More info:
IRS - Foreign Tax Credit – How to figure the credit
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
