Trying to get my 2021 US taxes done, and finding TaxAct seems to be behaving differently from last year.
We received several small interest and dividend slips, 1099-INT, 1099-DIV and Canadian T5s which get entered like a fake 1099-INT.
In the past, I would compute the totals of our (mine and spouse) US income in the General (after 2555), Passive and Re-Sourced categories, and figure out the pro-rated Canadian tax paid on each, and fill out forms 1116 accordingly.
This year TaxAct seems to have created a separate "Form 1116 Details from 1099/K1" worksheet for each of these small individual amounts, and it seems to want to construct the form 1116 by having me enter the tax amounts on each of these worksheets. This seems like a really painful prospect, to have to figure the tax on each of these separately. Also it hit its maximum (6) of such worksheets - and there are more than 6 contributors to passive income.
Can I just ignore or delete these worksheets, or do I have to cooperate with this new(?) behaviour by TaxAct and create extra Forms 1116? Help!
TaxAct 2021 and Form 1116
Moderator: Mark T Serbinski CA CPA
Re: TaxAct 2021 and Form 1116
yes, you can ignore them. i did my 1116s as usual on taxact. i don't fake the 1099s, or even use the 1099, s i get for 1116 i simply if there are none/ be aware that there are a couple of new schedules which you need to file, with regards to carryforward. this delayed the availability of 1116 for several weeks this year,
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Re: TaxAct 2021 and Form 1116
Thanks, that works. TaxAct seems to have created the new Schedule B and it looks reasonable. Don't think I need C.
Re: TaxAct 2021 and Form 1116
It is the IRS that created them. You needd to include it when you file.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing