I qualify for the foreign tax credit, but it appears there is a cap and I must carry over the balance. Is there a cap, and how many years can one carry over the balance?

[donferg1332]

If you can't claim a credit for the full amount of qualified foreign income taxes you paid or accrued in the year, you're allowed a carryback and/or carryover of the unused foreign income tax. You can carry back for one year and then carry forward for 10 years the unused foreign tax.Jan 29, 2019
Topic No. 856 Foreign Tax Credit | Internal Revenue Service - IRS.gov
https://www.irs.gov/taxtopics/tc856

[Anonymous]

if you have only FTC's from passive income and single, married filing separately or HOH status you can claim $300 without filing 1116,  Married filing joint $600.  (this is true even if the actual calculations would produce a lower amount) TT gives you this option not to file if you qualify .  if you  have foreign taxes other than the passive category then the form(s) is(are) required.   note that separate 1116's have to be filed for each category   also note that TT can't handle certain types of FTC  - those related to 951A income.  they tell you so (that little *)

a. Section 951A Income

Section 951A income includes any amount included in gross income under section 951A (other than passive category income). Section 951A income is otherwise referred to as global intangible low-taxed income (GILTI) and is included by U.S. shareholders of certain controlled foreign corporations. See Pub. 514 for additional details

c. Passive Category Income

Passive category income consists of passive income and specified passive category income. Passive category income doesn't include gain from the sale of inventory or property held primarily for sale to customers in the ordinary course of your trade or business; gain from commodities hedging transactions; and active business gains or losses of producers, processors, merchants, or handlers of commodities. It may also not include dividends, interest, rents, or royalties received from a controlled foreign corporation (CFC) in which you are a U.S. shareholder who owns 10% or more of the total voting power or the total value of all classes of the corporation's stock.

d. General Category Income

General category income is income that isn't section 951A income, foreign branch income, passive category income, or income described in categories e, f, and g, discussed later. General category income may include the following.

• Wages, salary, and overseas allowances of an individual as an employee.

• Income earned in the active conduct of a trade or business.

• Gains from the sale of inventory or depreciable property used in a trade or business. See Pub. 514 for additional

details.