I have an error during review where it states my K1 has Foreign interest expense allocated at partner level but no foreign source income is listed at the individual level

[eberulf]

I went back and answered that I did not have a K3 based on the lack of foreign income and that got me through the initial check.  However, now it won't let me file because of this error.  

[tagteam]

@pk ?

[pk · Accepted solution]

@eberulf , neither form 1065 nor schedule-K-1  requires  declaration of specific foreign income -- each  shows the foreign taxes paid that comply with section 901/903 of IRC.   So the only way for you to get the foreign income which resulted in the foreign taxes paid ( and available  to you as foreign tax credit )  is really to call the partnership's accounting and get the amount of foreign in come (  allocable to your share/shares ) and also the country /countries/RIC etc.  TubroTax will require  these bits of info  for purposes of form 1116.    I don't understand really why this is not provided automatically.

Note however that since this is passive  foreign income, you may be able to use the  safe harbor  ( US$300 per filer ) and thus avoid the need for form 1116.  Does your line 21 meet or is around that amount ?

Is there more I can do for you ?