Form 1116 worksheet once again a nightmare

[rcepuch]

For years, the form 1116 worksheet has been remarkably bad, and this year's no exception. Once again , the "Income from Foreign Countries" input area allows for selecting several countries (I need six). Then it says "Select a country from the list... on which to report each Form 1099-DIV." That would SEEM to imply info for each country should be entered separately – but Turbotax won't let you do it. Instead, if you select the first country and then click on Report Income and enter the figures for that country alone, the next screen you get says "You've completed reporting all copies of Form 1099-DIV to a country. Do you want to review your entries?" Click Yes and you're back where you started, click No and the only info accepted is what you've already put in for the FIRST country. Finally after reading old threads here I opted to simply use "Various" to cover all six countries and I itemized them and the relevant amounts in supporting details. That ALMOST worked, but I get error messages on the 1116 Comp Worksheet under Part 1, line 4b(1)b and c, which ask for "Adjusted basis of investment assets generating foreign income" and "Adjusted basis of total investment assets." Huh? As of 12/31/25, I assume? And only for the account in which I actually hold foreign securities? Does anyone know the answer to these questions? And Intuit, if you're listening (which I doubt), for the umpth time PLEASE make it possible to actually enter info for multiple countries!

[pk]

@rcepuch , assuming that you are reporting DIVs from a brokers' consolidated report or from a mutual fund etc., yes you may very well have multiple countries  for source income and foreign taxes paid.  Absent any other specific situations, you should use Various for the source country name, total Foreign source income  and total foreign taxes paid to these countries. Your usage of details in back-up sheet is the best way to proceed.

The basis adjustment is generally not applicable  because most often this relates to adjusting the basis  to allow for tax treaty based  tax rate by the US.  Note that the  allowable FTC is  the lower of actual paid and that imposed by the US and it is also not a refundable credit ( thus may get limited by your otherwise tax liability ).

So , unless you are a directly investing and reaping benefits from foreign source, the adjustment of basis is zero i.e. adjusted basis is the same as the in vested amount ( that generates the dividend/interest / etc. income).

Does this make sense ?   Is there more I can do for you ?

[rcepuch]

Yes, thank you. I am, however, investing directly in foreign stocks. I've tried putting a zero in that box and Turbotax says the number cannot be zero.

[gbacchin]

Indeed!

I cannot submit my return because Form 1116 ALT Line 33 reports 0 instead of the minimum between Line 20 and Line 32. Form 1116 regular is correct instead.