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April 9, 2023
Question

Excess Foreign Tax Credit

  • April 9, 2023
  • 1 reply
  • 0 views

My spouse paid German income tax on German wages. I am trying to claim Foreign Tax Credit. Going through Turbotax this resulted however in the message:

Your General category income tax credit exceeded allowed credit by <exactly the German income tax> amount. In other words my allowed credit would be zero.

This can not be right as it would defeat the purpose of avoiding double taxation.
What do i do wrong?

    1 reply

    TomW2022Author
    April 9, 2023