I, US citizen received interest from bank for which I paid taxes in India. Need to take tax credit.

It depends. Form 1116 is not required if the total foreign taxes paid are less than or equal to $300 ($600 if Married Filing Jointly). Be sure to report the interest income by:

1. Go to federal>wages and income
2. Go to interest and Dividends>Interest on 1099-INT
3. First screen indicate change how you enter your form.  In the next screen, indicate you will type this in yourself.
4. Enter the appropriate information in the form including who issued the interest and the amount
5. Be sure to check the box that says My form has info in other boxes (this is uncommon).
6. Foreign tax paid is recorded in Box 6 after you perform the step listed above.
7. Continue through the screens until you are done. it will ask you about the source of your foreign interest and interest amount. 

If you credit is more than the $300/$600 threshold, you will need to claim by going to:

1. Federal>deductions and credits

2. Estimates and Other Taxes Paid>foreign tax credit and complete the section to fill in your 1116 information.

[ Edited 02/04/22| 08:30 PM PST]