1962115
I am a US citizen resident in the UK and last year paid $2830 in UK taxes on my investments. No tax was deducted at source. In TT it seems to expect the tax to be listed on the "1099" forms. How do I enter the lump sum tax paid? I have only passive income.
You'll need to sign in or create an account to connect with an expert.
You would bring up a blank 1099-DIV and/or a 1099-INT whichever applies. The payer is the bank/brokerage. For a 1099-DIV, insert into box 1a the total dividends (ordinary) paid. In box 1b insert that part of box 1a that is qualified. In box 7, insert the foreign tax paid. TT uses that info to fill out schedule B and also sees the foreign tax paid in box 7 when you go thru the foreign tax credit interview.
You will need to first enter a 1099-form entry for your investment to pay US taxes. Then you will go through the foreign tax credit section to claim the credit. Here are the steps:
To enter your 1099 info, here are the steps:
Then go through the foreign tax credit section, here are the steps:
In TurboTax online,
If you have paid taxes to both foreign and the US tax authorities, the IRS allows you to claim a foreign tax credit on your US tax return. If you can't claim a credit for the full amount of qualified foreign income taxes you paid or accrued in the year, you're allowed a carryback and/or carryover of the unused foreign income tax, except that no carryback or carryover is allowed for foreign tax on income included under section 951A. You can carry back for one year and then carry forward for 10 years the unused foreign tax. To read more, click here: https://www.irs.gov/taxtopics/tc856
Still have questions?
Questions are answered within a few hours on average.
Post a Question*Must create login to post
Ask questions and learn more about your taxes and finances.
TEAMBERA
New Member
roses0305
New Member
sakilee0209
Level 2
fzmoda04
New Member
willowpoe
New Member