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State Foreign Tax credit is not filling the forms properly

Forum|Forum|5 years ago
April 17, 2021
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This is for NC and filling form D-400TC

If I claim only one state (RIC), everything goes fine

If I claim two state (RIC and another country), then I have problems. 7a is calculated correctly (I computed them on my spreadsheet), just a rounding error because it seems 7a is calculated for each country separately first. But lines 1 to 6 just show 0.

IS this a bug, or there is a workaround to it?

Best answer by SusanY1

This appears to be correct.

At the top of the form the instructions read: "If you claim a tax credit for taxes paid to more than one state or country [emphasis added], do not complete Lines 1-6. Instead, complete the “Out-of-State Tax Credit Worksheet” in the instructions to determine the amount to enter on Line 7a."

I found this here: North Carolina Form D-400TC.

SusanY1Answer

This appears to be correct.

At the top of the form the instructions read: "If you claim a tax credit for taxes paid to more than one state or country [emphasis added], do not complete Lines 1-6. Instead, complete the “Out-of-State Tax Credit Worksheet” in the instructions to determine the amount to enter on Line 7a."

I found this here: North Carolina Form D-400TC.

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N

nc001Author

Thanks, I think you are right. 'Out-of-State Tax Credit Worksheet” is very similar to part I in D-400TC part I (but you have to use one worksheet per country).

I can see that 'Out-of-State Tax Credit 2020 Worksheet' is generated on the pdf, for my information.,