Question

foreign tax credit is not showing up (2018)

Forum|Forum|6 years ago
October 23, 2019
1 reply
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I had about 2400 in foreign taxes paid, reported on my 1099-DIV for 2018. Some went to Brazil (VALE qualified dividends) and some was paid to the Netherlands because CBI had some sort of issue and had to pay a bunch of tax which they passed through. For the Brazil, there were dividends that the tax was paid based on. For NL, there were no dividends, just tax. I can see where the NL taxes may not come through because there is no income for them, but why do I get 0 on sch 3 line 7 instead of at least the Brazil portion of the tax? Is there a place I can enter the CBI tax charge? I have plenty of income, so that is not the problem.

A

Anonymous_

Employee

Answer to receive more exposure - posted in the Community Basics section

@pk12_2 ??

P

pk12_2

Employee

how did you report the foreign tax -- using the DIV worksheet? And did you enter the total foreign tax and the total foreign income or what ? Are you using on-line version or desktop? I am assuming that you are filing a form 1040 ( yes? ) --- and therefore what is the world income and foreign sourced income ? Are you using form 1116 ?

M

mbekkenAuthor

how did you report the foreign tax -- using the DIV worksheet? I imported the documents from Ameritrade. I went into the interview questions and verified that the foreign tax paid shows up, along with the foreign income. I use the desktop version, and am filing all gazillion pages of form 1040. I want to claim the credit. At one point it made me a form 1116 but it was blank. The foreign tax came from Brazil and from the Netherlands. The NL tax, however, does not have any associated income. Apparently CBI did something that made them have to pay a bunch of tax and they passed it all along to the shareholders, because it is not bad enough that the stock is worth a 10th of what it used to be worth, we should also pay 3K in tax to The Netherlands. The Brazil income is dividends from VALE, who mines iron ore.