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Preparing Form 1116 for Foreign Tax Credits Self-Study

Summary

The general purpose of the foreign tax credit is to mitigate the effects of double taxation on foreign-source income. More specifically, the foreign tax credit (FTC) reduces a U.S. taxpayer´s tax liability with respect to its foreign source income by all or part of the foreign taxes, paid or accrued during the tax year. The credit is generally limited to the lesser of the foreign tax paid or accrued, or the U.S. tax liability on the foreign source income. You need to know how to complete Form 1116, Foreign Tax Credit (Individual, Estate, or Trust), to reduce the double taxation on their foreign-sourced income

Objectives

Upon completion of this course, you will be able to:

  • Differentiate between U.S. and foreign source income
  • Apply the sourcing rules to maximize the foreign tax credit and minimize excess credits
  • Compare the difference between the direct foreign tax credit and the indirect foreign tax credit
  • Complete Form 1116

Course Details

This course includes an e-book and exam questions to help you earn CPE. CPE is issued after the exam is successfully completed.






   

Presented by:

How to Earn CPE

To receive credit for this self-study course, you must successfully pass the course exam with a score of 70% or better.

Self-study courses and exams generally expire one year from the date of purchase. The AFTR course expires on December 31 of each year as required by the IRS.

Cancellation Policy

​Because this is an online education offering, it is nonrefundable.

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