How do you calculate foreign income (for foreign tax credit) when dealing with ETFs?

[Matt18]

Hi, in TT download edition, it asks for the total foreign income and total foreign qualified income when calculating the foreign tax credit.  My 10099 statement doesn't indicate which stocks or ETFs have foreign income, only which ones have foreign taxes withheld. I know some of my ETFs have foreign stocks in their portfolio.  

A couple questions:

1) How does the total foreign income and qualified income affect my taxes?  Does it only impact the % of my foreign tax withheld that I get a credit for?

2) How do I calculate total foreign income from my 1099 for ETFs?

Thanks, much appreciated

[DianeW777]

The foreign income is likely a percentage of the total income on your 1099.

1. How does the total foreign income and qualified income affect my taxes?  Does it only impact the % of my foreign tax withheld that I get a credit for?
   1. It shows the IRS the amount of income that was taxed by a foreign country which substantiates the allowance for the foreign tax credit.
2. How do I calculate total foreign income from my 1099 for ETFs?
   1. In the documents that came with your 1099(s) they should also provide a percentage of income that is from foreign sources.  If you don't see that you should contact your financial agent or facility for assistance.