Form 1116 isn't prepared after entering data on the 1116 screen
The application doesn't prepare Form 1116 if you've allocated 100 percent of the current-year foreign tax credit to the beneficiaries in any of the following ways:
- On a simple trust.
- On a final return.
- By data entry on theAllocatescreen in theAllocationfolder.
- By going toView,Beneficiary Information, then theFederaltab.
The application only reports fiduciary amounts on Form 1116. All current-year foreign income and tax are reported on the beneficiary's Schedule K-1.
To prepare Form 1116 for a simple trust and retain the credit at the trust level, go to the
Allocate
screen in the Allocate
folder and mark the Final return or simple trust: Allocate credits, estate taxes, or state withholding between trust and beneficiaries
checkbox.note
If Form 1116 still isn't completed, go to
View
, Beneficiary Information
, then the Federal
tab and verify that there's no credit percentage entered for foreign tax credit.
