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February 22, 2025
Question

How do I Apply foreign tax credits on form 1116 rather than SCH A using the online input?

  • February 22, 2025
  • 1 reply
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Federal 1040 receives repeated errors for no-designaiton of Form 1116 column. "DoubleCLICK" instruction on Federtal review has no hot link to 1116 only to SCH A.

    1 reply

    February 22, 2025

    when you entered the dividends you should have come to the foreign dividend credit line 7 where you enter the amount

    then there's a page that asks for the amount of foreign dividends and the source which must be completed

    eventually, you need to reach the Estimated and Other Taxes Paid section under deductions and credits, there you'll find a link for foreign taxes (click update or start) 

    eventually you'll reach a page that asks if you want the deduction or credit so select credit.

    there's a page showing the foreign source - click report income and check the appropriate boxes on the next page

    finally, on the next page enter the amount of the foreign source dividends 

    eventually, you'll reach another page to identify the category - dividends are passive 

     

    there will be other pages where youu'll need to supply answers