Foreign Tax Credit

[TMacs57]

I have a foreign tax credit carryover from when I worked in Sweden 5 yrs ago. In my 2020 1099 Div statments I have foreign income identified coming from countries other than Sweden. My question is if I am paying US tax on this foreign dividend income can I use the FTC to offset that tax. I am noting the my FTC is from Sweden taxes and this most recent dividend income is not from Sweden. On my 1099 Div for 2020 there was a small foreign tax that I was able to claim an FTC on.

[rogge1722]

From your description, your foreign tax credit from 5 years ago is from earnings and you would have filled out an f1116 for general category income.  Income from dividends is  passive category and any thus carryovers can only be used for the same category of income.  For TY2020 I'm assuming the 1099-DIV was issued to you in which case if the amount is not greater than $300 (Single) or $600 MFJ)  the foreign tax withheld will be automatically end up on form 1040 line 20.  The amount in line 20 cannot reduce the tax on line 16 below zero. 

[TMacs57]

Thx for the reply!