Foreign Tax Credit

[hlkastner]

We are using the 2024 Turbotax Premier version downloaded to my Desktop. Imported 1099-Div Statements from Fidelity and Vanguard show total Foreign Taxes paid of $500 and those also are shown in the Turbotax summary of credits (we chose credit instead of Deduction). However, these $500 are not applied to the final Taxes due. Even talking to a Turbotax representative, she tried many different ways but could not get these $500 applied against the total Taxes. Is this a problem in the Premier program, or is there another solution?

[pk]

@hlkastner ,  where do you see the  FTC -- is this showing on schedule- 3  , line 1 ?  If not something else is going on.

During your Foreign tax recognition, did TurboTax , on choosing FTC say that you will have to fill out form 1116 ?  Assuming that  US$500  is the Foreign taxes paid, you are filing MFJ, this amount would be under  SafeHarbor.  Thus there is direct FTYC without using form 1116.

I am also assuming here that  your actual tax liability is larger than US$500 -- this is a non-refundable credit.

 Since I cannot see your  screen(s),  you will have to  at least confirm what I have said above.  And based on that we may have to go rooting around a bit more to find the cause of this mis-behavior by Turbo.

Will circle back once I hear from you.