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    Trishala Raj's Avatar
    Trishala Raj Posts: 93, Reputation: 1
    Junior Member
     
    #1

    Sep 15, 2019, 07:50 PM
    Form 1116 tax credit
    Hi,

    When I Use Form 1116, to get foreign credit should I take the Gross salary and rent or is it net?

    Thanks
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,834, Reputation: 846
    Senior Tax Expert
     
    #2

    Sep 15, 2019, 09:49 PM
    Use the gross salary.

    Use net rent.

    You CANNOT claim rent and salary on the same Form 1116, because rent and salary are different types of income.
    Trishala Raj's Avatar
    Trishala Raj Posts: 93, Reputation: 1
    Junior Member
     
    #3

    Sep 16, 2019, 04:37 AM
    Thank you so much for your response. I appreciate it.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,834, Reputation: 846
    Senior Tax Expert
     
    #4

    Sep 16, 2019, 07:14 AM
    To be clear, for the salary, you need to file Form 1116 for "general" income, and for the rent, you need to file a separate Form 1116 for "passive" income.

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