I have foreign wages (taxed) and interests (not taxed) in 2019. My foreign tax credit situation should result no extra liability with the return. I have entered foreign interest income of $20 (converted myself from foreign currency) for BOX-1 as if I've received 1099-INT. Then I went to f1116 for foreign tax credit with Passive Category Income for this $20. Interview says I should not enter interest already in 1099-INT. So by entering in 1099-INT, it does not create a f1116 for that passive income of $20, and now I owe $2 tax (for that $20) and loses $2 of my foreign tax credit, though I still have credit overall. Basically it appears to TT does not treat $20 as part of foreign income. How can that be resolved? Also, if all foreign tax is paid NOT in USD, does TT online not support the filing of f1116? Thanks.
posted
last updated
March 28, 2020
7:51 PM