I have foreign taxes from a brokerage account do I take a deduction or credit?

mo5ro611 — Wed, 05 Jun 2019 22:30:40 GMT

It is a very small amount

Generally, taking a foreign tax credit on Form 1116 gives...

LinaJ2018 — Mon, 30 Mar 2020 21:18:36 GMT

Generally, taking a foreign tax credit on Form 1116 gives you a lower tax bill than if you deduct any foreign taxes paid as itemized deductions. When you itemize deductions on Schedule A, each dollar of deduction reduces your taxable income. When you take a foreign tax credit, each dollar of tax paid reduces your income tax.

To be accurate, as you entering the information, the program will help you decide. Please follow these steps:

After sign into your account, select Take me to my return / pick up where I left off
At the right upper corner, in the search box, type in foreign tax credit and Enter
Select Jump to foreign tax credit
Start with screen Foreign Taxes and select Continue to follow the next prompts.
Stop on-screen, Do you want the Deduction or Credit? click on blue link help me decide
Proceed to finish completing the information.

topic I have foreign taxes from a brokerage account do I take a deduction or credit? in Deductions & credits

I have foreign taxes from a brokerage account do I take a deduction or credit?

Generally, taking a foreign tax credit on Form 1116 gives...