Juan Carlos

I understand Judy. It would take to much time adding client and details when I just want confirmation or correction that needs to be made. Thank you,

ATX

If I paid foreign taxes of $150K and got a distribution over $1M and it is passive income, sale of a home that was inherited, but reclassified as General limitation because of the high income. When I put it in the passive income section under foreign taxes but then I have to fill out the High tax kickout do I put the same amount of the tax paid which essentially doubles the foreign tax credit. Is that correct?

I need help filling out the Form 1116 I filled out Sch-D got my LT Capital Gain of just under $1.5M and foreign taxes paid of $108K to Switzerland. On the Global Information I put down US Resident. P for Taxes Paid and went down to passive income and put the $108K in Foreign taxes. Then I placed the $108K in Other taxes in the section Determine how to allocate these items. I did not fill anything in the Special Allocation Options if Using income Reconciliation? Input screen I filled out Switzerland for country, description of property, Income amount $1.5M, Income category Gen Limitation, Income type Other and date paid. Then I put in the expenses and some interest. Now here is where it get's interesting once I check off the Box "If capital gain or loss" the income amount doubles I lose the foreign tax credit, but worst of all checked or not I can not see anything on the forms. Please make suggestions or give me specifics to complete section as I would be very grateful. Sincerely, Juan Carlos