Data entry for foreign income taxes
The information you enter gets used in the foreign tax credit and high-tax kickout calculations and transfers to Form 1118, Schedule B.
During a TAS Consolidation, information from member binders is aggregated for divisional consolidations that source at the division level. If sourcing's done at the divisional consolidation level instead, enter amounts directly in the divisional consolidation's workpaper. The sourcing indicator's located in
Binder Properties
, FTC
. - Data entry can be found inTAS,Foreign Tax Credit,Foreign Income Taxes.
- Select theSource Code. TheCountry Codeand theDate Paidcarry from thePaid or Accruedsection to theWithheld Deemed Paid and Adjustmentsections.
- To enter data in theDeemed Paidsection, enter theCountry CodeandDateon thePaid or Accruedsection.
- SelectDeemed Paid.
Deemed paid credits from lower tier foreign entities can be transferred to their FTC parent's
Foreign Income Taxes
screen to use on Form 1118, Schedule B. The amounts transferred from your foreign entities are in the Deemed Paid Taxes
(from Intl Transfer) column. To override the transferred information during international calculations, enter zero or an amount in the Deemed Paid Taxes
(override) column.Foreign tax credit selections in a Top Consolidation binder
The Top Consolidation binder is a Foreign Tax Credit (FTC) binder with functionality for CFC and FTC calculations. In the binder, there are various selections and information that you must enter before you can run Taxable Income by Source (TIBS) and FTC calculations and transfer the data to Form 1118.
Related Content
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Form 1118, Foreign Tax Credit
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