Problems with form 1116 - Foreign Tax Credit

[mymontreal]

Searched other form 116 posts but cannot find an answer... 

I have passive income from foreign dividend payments (all shown on 1099-DIVs), on which I have paid a total of $799 in foreign taxes (RIC & Germany).

On Form 1116, how is TT calculating the value for line 3a ("certain" itemized deductions or standard deduction) ?

I do itemize my taxes and on 1116-line 3a TT enters $2,973 - where does this come from ?

If I compare with last 4 years of TT returns, TT has always previously entered a standard figure of $10,000 on form 1116 line 3a - why is this year different from every other year ? In prev years, foreign dividend income was about the same, foreign taxes paid was about the same, Itemized deductions on 1040 schedule A were also similar.

I have read every article I can find on "IRS Form 1116", but can find no real explanation of what IRS mean by "CERTAIN itemized deductions"...

Can anyone help, as I am going nuts... 🙂

Thanks

Mike

[Mike9241]

Line 3a. Enter the following itemized deductions (from
Schedule A (Form 1040)) on line 3a.
• Medical expenses (line 4).
• General sales taxes (line 5a).
• Real estate taxes for your home (line 5b).

also The Internal Revenue Service issued guidance allowing U.S. taxpayers to allocate and apportion all of their deductible charitable contributions to U.S. source income for purposes of calculating the foreign tax credit. Under Treasury Regulation 1.861-8T and T.D. 9143, taxpayers are allowed to allocate charitable deductions to U.S. source income regardless of whether the contributions will be put to use abroad, as long as they are deductible under the Internal Revenue Code. This is not done automatically by turno tax

If you don't itemize deductions, enter your standard deduction on line 3a.