How to fix tax return reject with message of " Please review the "ForeignTaxesPaidOrAccruedDt" on Form "1116" in the section "ForeignTaxCreditSource"" redo 1116 dont help

[markliparoto]

Sorry this will not be helpful.  I just spent one and a half hours on an international call with a TurboTax support person -- they were working on this but did not seem to have a clue why this was happening.  The call dropped and I was left high and dry.  I tried to reconnect to the person I had been working with via TurboTax twitter  -- but the "social media" person was not helpful at all.  Just told be to do again what I had already done for 1.5 hours --  I guess she never heard the definition of insanity.  Anyway IMHO there is an issue either with TurboTax SW / IRS SW or some combination of the two.  You would think someone at TurboTax could work this out really quick -- which I am sure will be the case once the problem gets to the right person.  

[KathrynG3]

If you have a foreign earned income exclusion on Form 2555, then Form 1116 cannot also be used on the same income. If you are in the military, then be sure to identify  in the My Info section under Other State income section, Where you are Stationed as Foreign or U.S. Possession.

For Form 2555, which is for the Foreign Earned Income Exclusion, enter the gross amount earned before any foreign taxes paid. To review this area of your return, follow these steps:

1. In the search box, enter foreign income. 
2. Click the Jump to link in the search results.

To return to Form 1116, follow these steps:

To do this in TurboTax, follow these steps:

1. In the search box, enter foreign tax credit. 
2. Click the Jump to link in the search results.
3. Going through the interview, at No Other Income and Expenses, answer No and Continue and Continue.
4.  At Choose the Income Type, answer from the 7 categories listed and click Continue.
5. This will get you to the Country Name screen to select the country from the dropdown menu and later make any other adjustments.

For more details, see:

Filing IRS Form 1116 to Claim the Foreign Tax Credit - TurboTax Tax Tips & Videos

Filing Taxes While Overseas 

[kestenband]

Thanks. This is helpful, but I do think there is an issue in the TurboTax/  IRS 1116 cross check. several users have been discussing this, getting rejects on ForeignTaxesPaidOrAccuredDt

From the IRS current known issues lists: 

Form 1116, Part II, Columns lA, lB, lC choice for ForeignTaxesPaidOrAccruedDt or ForeignTaxSpecialTypeCd, has changed to min=1 / max=1 making them a required choice. Only certain enumerations can be entered. 

and suggested a solution (which TurboTax do not allow without a software fix). 

If selecting the choice of ‘ForeignTaxesPaidOrAccruedDt’, then enter a random date and attach a binary attachment explaining the correct literal that should have been entered. If selecting the choice of ‘ForeignTaxSpecialTypeCd’, then enter "1099 TAX" or "909 TAX" and attach a binary attachment explaining the correct literal that should have been entered.  

[julian27]

So what are folks thinking here - print off Forms and mail in the return old school style?

[knut_r]

I got the same rejection message. Talking to a specialist on the phone they just walked me through the form 1116 interview again (which I had already done after the initial reject). Rejected again. They were apparently in touch with a higher level support person who said TurboTax people were working with the IRS on fixing something related to foreign income and/or tax. The specialist advised to try again on 2/26 or mail the form. 

Form 1116 Part II table does say that the foreign tax paid has to be entered in both the foreign currency and the converted USD. However, the form looks the same for last year's return when I was able to e-file sucessfully.

Fingers crossed this will get fixed. Otherwise I have to print a stack of paper and call TurboTax again to ask for a refund of eFile/state return fees (no point in paying $40 for a 3 page state return that I have to mail). Of course that would have been the quicker option at this point given the time spent on trying to figure out how to get this to work.

Interestingly, when I used HR Block Taxcut for 2018 I think they said I have to file on paper and attach an explanation how I converted the foreign tax paid to USD. So I thought when I switched to Turbotax last year it was an improvement to be able to efile. I guess that was short lived.

[markliparoto]

Knut_r -- thanks for the update.  At least I can check on 2/26 if there is software update which may fix the problem.  I'm still waiting to hopefully hear back from tech support.   I wouldn't give up on TurboTax based on your initial experience -- I have been using it for years with foreign income reporting -- and overall it has been great.  I think the issue is actually with the IRS and hopefully TurboTax are scrambling to find a software work around.  Good luck!

[knut_r]

I just tried again refiling with the online edition and it was rejected with the same reason code.

If anyone is successful please follow up here. I'll attempt to ignore this for now in the hopes this will still be fixed.

If Intuit wants to reach out and offer a partial refund for my trouble and (likely) eventual paper filing I would not be opposed.

[blueman2]

Same issue here.  I looked at the form in detail and see no errors.  But I had my form rejected twice now.  Frustrating.  

[blueman2]

FOUND IT!!!!!

There is an error in Turbotax, but easy to fix.  Go into Forms mode and look on the form 1116, Part II, and you will see a field with what should be a date, but instead is filled with a Country (RIC in my case).  Just click to fix it and enter the date the foreign tax was paid.  

[knut_r]

You're using the desktop version? 

The online version does not offer access to or editing of forms

[blueman2]

Correct, I am using desktop version.  Sorry, but not sure how to fix without forms mode.  But since the error is that TurboTax is putting Country information into what should be the Date you paid the foreign taxes, maybe you can spot something wrong in the questions?  

In any case, this is an easy fix for Intuit if they are reading these posts (which I doubt they are!)

[blueman2]

And to confirm, I just got the "Accepted" reply.  The rejections were coming within 5 minutes, but this acceptance came after about 30 minutes.  So this was the problem.  Desktop users can get around it, online users are the the mercy of Intuit.  

[RuralFeeDelivery]

I have the date 12/31/2020 there and it still isn't accepting it.

[blueman2]

That is the date I put there (12/31/2020) and it was accepted.  Maybe another field like that messed up?  Look in forms view at all the data to see.  Otherwise, I am at a loss.