About foreign bank accounts: turbo tax asked if my foreing bank account had any "income, deductions, or credits in 2017" . What do deductions or credits mean?

[DS30 · Accepted solution]

In regards to your foreign bank account, TurboTax is just asking it you had any bank interest. Also was there any reductions in the actual amount of foreign interest being reported (such as some kind of foreign related banking allowance by your foreign bank). This would be a deduction to the amount of income that would need to be reported if there is a US income tax treaty allowance for this type of deduction.

As for credit, this would be if you paid any foreign taxes related to your foreign banking activities like a foreign tax credit on your foreign bank interest income.