Turbo Tax Prompts in 1099 Div Section

Since you have entered the amount of foreign taxes paid as part of your Form 1099-DIV, you will be asked to enter the corresponding foreign dividend amount when you go through the Form 1116 section of your return.

 

This is the section where the foreign taxes paid are reconciled and you either choose to take a credit or a deduction for the foreign taxes.  

 

Use these steps to go to that section of your return:

 

• On the top row of the TurboTax online screen, click on Search (or for CD/downloaded TurboTax locate the search box in the upper right corner) 
• This opens a box where you can type in “foreign tax credit” (be sure to enter exactly as shown here) and click the magnifying glass (or for CD/downloaded TurboTax, click Find)
• The search results will give you an option to “Jump to foreign tax credit”
• Click on the blue “Jump to foreign tax credit” link and enter your information

Thanks for the information but TT is defaulting to my total income from dividends and capital gains as shown on the 1099 DIV when I go through the Form 1116 section

You will need to use the detailed information on the statement issued by the brokerage to determine what portion of the total dividends was from a foreign source.  

 

That amount is not broken out separately on Form 1099-DIV, but it should be in the information you received giving the details of your account.  If it is not, you may need to contact the brokerage for further assistance.

 

@kkrupsaw1

Thanks again - I have the information - I just can’t figure out where/how to enter it in TT - never had this problem before - can I enter it on the Foreign Tax Credit worksheet or Schedule B for the broker involved?

Enter the amount on the 1099-DIV worksheet.

 

1. Tap Forms in the top right
2. Select the appropriate Form 1099-DIV in the left column
3. Go to Box 7, line d Foreign source amount included in dividends
4. Tap Step-by-Step in the top right to return to the interview mode

Thanks - BTW -TT also prompted me when it did the Federal Review for errors because I left some information blank for this 1099