It appears that my Form 1116 (General Category Income), line 3d is adding my income stated on Form 1116, Line 1 to the amount of income stated on Form 2555. As such, Form 1116, line 3d is double what my actual general category income is.
I've read the Help note "About Line 3d". Quite frankly, I can't make sense of it.
" In many cases, this (Line 3d) will be the same amount that you entered on line 1. However, if the income that you reported on line 1 was income earned in a foreign country and you excluded some of that income on Form 2555, Foreign Earned Income, line 3d is your total foreign income NOT reduced by the amount excluded on Form 2555. In this case, be sure that you make an entry on the Foreign Tax Credit Computation Worksheet in the Income Excluded on Form 2555 Smart Worksheet. "
In my case, the income reported on line 1 was earned in a foreign country and was completely excluded on Form 2555.
I am unable to find the Foreign Tax Credit Computation Worksheet in the Income Excluded on Form 2555 Smart Worksheet.
The fact that line 3d in double what my actual income was, it doesn't appear to affect the tax calculations. However, it is incorrect.
How do I correct the information showing on Form 1116, line 3d?
Thank you in advance.
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To clarify, if your income was excluded already, why are you filing a Form 1116? You can either exclude the income or claim a foreign tax credit but not both unless you are claiming a credit for income that is above the exclusion threshold.
To clarify, if your income was excluded already, why are you filing a Form 1116? You can either exclude the income or claim a foreign tax credit but not both unless you are claiming a credit for income that is above the exclusion threshold.
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