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savvypumpkin
Returning Member

Turbotax doesn't let me claim Foreign Tax Credit for my foreign rental income. It just considers the tax I paid on the interest earned from foreign account.

 
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1 Reply
DaveF1006
Expert Alumni

Turbotax doesn't let me claim Foreign Tax Credit for my foreign rental income. It just considers the tax I paid on the interest earned from foreign account.

You are going to need to enter the information manually because this doesn't transfer automatically like the interest income did.

 

  1.  Go to Federal
  2. Deductions and credits 
  3. Estimate and other taxes paid 
  4. Foreign Tax Credit>start or revisit
  5.  As you go through the screens, when it asks "Tell Us About Your Foreign Taxes" select none of these apply.
  6. When it asks if you wish to take the deduction and credit, take the credit.
  7. Continue through until you reach a screen that says "No other income or expenses" Say no
  8. Continue through until it asks the income type, say Passive Income
  9. Next add a country pick the country where this occurred.
  10. Other Gross Income say Foreign Rental income and the Gross Amount of the income
  11. Continue through the interview until it asks for the foreign taxes you paid, here record the amount.  
  12. Now you are done reporting the foreign taxes. Just keep going through the section without making any more entries. You will have finished reporting your gross income from the rental income paid and the foreign taxes paid.
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