Foreign Tax Credits

[edeileenr]

Not a lot of money, but I'd still like to understand. 2020 foreign taxes were 859 of which only 745 was allowed as a foreign tax credit. So I thought I had a 2020 --> 2021 foreign-tax-credit carryover of 114.  I reflected that in my Form 1116 and went through the TurboTax Step by Step and reflected the same:, a 2020 FTC of 114. But it doesn't show up as an addition to my 2021 foreign tax credit. What am I missing please? Thank you!

[DaveF1006]

If you didn't have foreign income to report this year, then you won't be able to use the carryover credit. 

[edeileenr]

We made 5924.34 of nonqualified foreign dividends and 7572.06 qualified foreign dividends. We paid 1957.54 in foreign taxes.  I would have thought that I could carry over $114 in 2020 foreign taxes for a 2020 foreign tax credit carryover.

[edeileenr]

But I did have foreign income and I did pay foreign taxes all in 2021.

[RobertB4444]

Your foreign tax credit is limited to the percentage of your total income that is from foreign sources.  It's an annoying fraction.  Here is the IRS on that topic.  

@edeileenr