We sold land abroad accrued capital gains and paid 20% tax abroad. Entered capital gains income. Where do we enter tax paid abroad to get the tax credit?

[paul89]

Specifically, there is a section federal tax paid in investment income. But it does not explicitly say enter foreign tax paid.

[Carl]

All taxes paid to any taxing authority are entered under the Deductions and Credits tab in the Estimates & Other Taxes Paid section. There's a sub-heading under that specifically for foreign taxes paid.

[Hal_Al · Accepted solution]

Foreign taxes paid are not treated the same as US withholding  or  estimated payments.  That is, they  are not applied directly to your calculated federal income tax.  Instead what you paid is used to calculated a foreign tax credit or deduction