1.) I thought long term capital gains would have lower tax rate. Turbotax asked me "Any foreign source qualified dividends or long term capital gains?" After I entered the amount of my long term capital gain, the tax shot up which surprised me. Why?
2.) Turbotax asked me "Taxes reclassified under high tax kickout". I don't know how to answer.
3.) I assumed the purpose of Form 1116 is to avoid double taxation. I have already paid 30% of capital gain tax. Why am I still imposed a heck of tax by IRS?
Sherman L.